The Nigerian government has outlined plans for a 47 trillion naira ($28.18 billion) budget for 2025, focusing on economic growth and fiscal stability. Budget Minister Atiku Bagudu disclosed the details after a cabinet meeting in Abuja, highlighting key assumptions underpinning the proposed expenditure.
The budget is based on an estimated oil price of $75 per barrel and a production target of 2 million barrels per day. A deficit of 13.8 trillion naira, equivalent to 3.87% of the projected GDP, is also included in the spending plan.
Stronger Exchange Rate Forecast
One notable aspect of the 2025 budget is the assumption of a stronger exchange rate of 1,400 naira to the U.S. dollar, compared to the official closing rate of 1,655 naira. This optimistic forecast reflects the government’s aim to stabilize the naira and improve economic conditions.
Improved Non-Oil Revenue Performance
Bagudu emphasized that the government’s fiscal measures are yielding positive results, particularly in non-oil revenue collection. These gains are expected to support the budget and offset some of the fiscal pressures associated with the deficit.
The proposed budget underscores Nigeria’s ongoing efforts to balance resource-dependent revenue streams with broader fiscal reforms aimed at enhancing economic resilience. Further details and implementation strategies are anticipated as the government works to secure legislative approval.
