Nigeria’s fiscal deficit has reached N7.05 trillion as of the third quarter of 2024, according to President Bola Ahmed Tinubu’s presentation of the 2025 Budget of Restoration to the National Assembly.
Here are the key highlights:
– Revenue Generation: Nigeria generated N14.55 trillion in revenue as of Q3 2024, representing 75% of the annual target.
– Expenditure: Government expenditure for the same period stood at N21.60 trillion, accounting for 85% of the budgeted spend.
– Fiscal Deficit: The discrepancy between revenue and expenditure has resulted in a fiscal deficit of N7.05 trillion.
– Budget Performance: The federal government’s budget performance indicates a revenue shortfall, highlighting the need for enhanced fiscal discipline, improved tax revenue collection, and alternative financing sources.
The President acknowledged the challenges in the global and domestic economic environment but emphasized the administration’s focus on stimulating the economy through public investments in infrastructure, security, and human capital development.
The 2025 budget is set at N47.90 trillion, with a projected deficit of N13.08 trillion. The government aims to lower the deficit levels to the threshold stipulated in the Fiscal Responsibility Act (FRA) 2025 within the medium term.
Source: Nairametrics
