The Federal Executive Council (FEC) has approved the 2025 budget proposal, which outlines a total expenditure of ₦47.96 trillion.
Minister of Budget and Economic Planning, Senator Atiku Bagudu, disclosed this to State House correspondents on Monday after the council meeting presided over by President Bola Tinubu at the Presidential Villa.
The minister said the 2025 financial framework is designed to build on the successes recorded in 2024, focusing on macroeconomic stability, infrastructure development, and human capital advancement.
Key highlights of the budget include initiatives to boost economic activities in agriculture, housing, and the gas sector, as well as efforts to enhance consumer credit and manufacturing.
The budget projects a total revenue of ₦34.82 trillion, leaving a deficit of ₦13.13 trillion, equivalent to 3.89% of GDP. While the 2025 budget deficit reflects an improvement from the 6.1% inherited from 2023, the expenditure marks a 36.8% increase compared to the 2024 estimate.
The framework is based on an oil price benchmark of $75 per barrel, daily oil production of 2.06 million barrels, and an exchange rate of ₦1,400 to the dollar. These projections are in line with the Medium-Term Expenditure Framework and have already been approved by the National Assembly.
The council commended the progress made under the Tinubu administration, including achievements in security, infrastructure, and economic diversification.
He said, “Today, the Federal Executive Council approved the budget proposals for 2025 with amendments, which the president directed following a presentation to the Federal Executive Council by the Director of the Budget Office.
“The 2025 budget proposal articulates the federal government’s financial plan for the 2025 fiscal year and aligns with the Renewed Hope Agenda and the National Development Plan, 2021-2025.
“Earlier, the Medium-Term Expenditure Framework and Fiscal Strategy Paper was designed to build on the advances in macroeconomic stability, security gains, infrastructure gains, human capital development efforts, and creative industries, manufacturing, and all the measures that have been taken to expand economic activity.
“Create consumer credit, National Agricultural Development Fund, gas, CNG initiative, housing initiative—all of them intended to build economic activity and the successes noted in 2024.
“The 2025 framework is based on an oil price benchmark of $75 per barrel, oil production of 2.06 million barrels per day, and the exchange rate of 1,400 Naira. All these are already included in the medium-term projection, which we have presented here and have also been approved by the National Assembly.
“So the total projected revenue for 2025 stands at ₦34,820,000,000,000 trillion, out of which the expenditure is projected at ₦47,960,000,000,000 trillion, which is an increase of 36.8% from the 2024 estimate. The deficit for 2025 is projected at 13.13, representing 3.89% of GDP.
“If you recall, this administration inherited 6.1 from the 2023 budget. But given the success achieved in 2024, we were still able to maintain the deficit.
“Comments were taken from the members of the Executive Council, and Mr. President directed some consequential adjustments while approving the figures,” he added .
