The Minister of Budget and National Planning, Mr. Atiku Bagudu, says the new minimum wage is captured in the N3 trillion recurrent component of the additional funding in the 2024 budget.
Bagudu, while appearing before the House of Representatives Committee on Appropriation to defend the N6.2 trillion proposed additional funding in the 2024 budget on Monday, gave an overview of the financial estimates.
He said the proposed minimum wage has been captured in the bill with the N3 trillion recurrent expenditure, adding that the president will soon send the bill to the National Assembly.
The minister also revealed that the Renewed Hope Infrastructure Fund will receive the N3.2 trillion capital expenditure component.
He said the government will use part of the funds to provide counterpart funding for major projects like the Lagos-Calabar and railway projects.
“Some of the projects proposed in the budget include Lagos-Calabar, the 1,000 km Sokoto-Badagry road projects, as well as the rail project for which the Chinese government has provided 85 percent funding, while the federal government is yet to provide the 15 percent counterpart finance,” the minister said.
Bagudu explained that the proposed N3.2 trillion was intended to provide equity contributions or counterpart contributions for federal government projects designated as priority projects, as well as critical projects that needed more appropriation so that they would not suffer neglect.
He further disclosed that N530 billion is allocated for major rail projects in the country, adding that N522 billion was provided for water, irrigation, and dam projects.
In his opening address, the chairman of the committee, Mr. Abubakar Bichi, tasked the minister with giving details of the Appropriation Bill, including the N3.2 trillion capital expenditure increase and N3 trillion recurrent expenditure.
Bichi said there was a need for Nigerians to be adequately informed of the details of the proposed N6.2 trillion budget, which is in addition to the N28.7 trillion Appropriation Act approved for the 2024 fiscal year.
Persecondnews recalls that last Thursday, after a second round of meetings with labor leaders, President Tinubu approved a new minimum wage of N70,000 for Nigerian workers and pledged to review the national minimum wage law every three years.
In a statement on X, Mr. Bayo Onanuga, the Special Adviser to President Bola Tinubu on Information and Strategy, confirmed the development.
He said: “President Bola Tinubu has approved the N70,000 minimum wage for Nigerian workers with a promise to review the national minimum wage law every three years.
“President Tinubu also promised to find ways to assist the private sector and the sub-nationals with the minimum wage.”
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