President Bola Tinubu has revealed the allocation details of the N4.52 trillion increase in the 2025 budget, saying it is to foster inclusive growth and ensure security for all Nigerians.
The proposed budget increase brings the total budget to N54.2 trillion, up from the initial N49.7 trillion proposed in December 2024.
The allocation details show that N1 trillion will be allocated to the solid minerals sector to support economic diversification and unlock Nigeria’s vast solid mineral resources.
Another N1.5 trillion will be used for the recapitalization of the Bank of Agriculture (BoA) to transform Nigeria’s agricultural landscape, ensure food security, and empower smallholder farmers and agribusinesses.
Additionally, N500 billion will be allocated for the recapitalization of the Bank of Industry (BoI) to provide critical support to small and medium enterprises (SMEs), drive local manufacturing, and reduce dependence on imports.
Persecondnews reports that N1.5 trillion will be allocated to Critical Infrastructure Projects (RHID Fund) to support the development of critical infrastructure in Nigeria.
Tinubu said the budget increase reflects his administration’s commitment to securing Nigeria and building a future where every citizen can live and thrive without fear.
Senate President Godswill Akpabio recently clarified that the proposed budget increase is backed by additional revenue generated by key government agencies last year.
He said the Federal Inland Revenue Service (FIRS) contributed N1.4 trillion last year, the Nigeria Customs Service (NCS) generated N1.2 trillion, while other government-owned agencies accounted for N1.8 trillion.
This suggests that the expansionary policy is not reliant on printing new money, which therefore minimises inflationary risks.
In the letter read by Akpabio on Wednesday, Tinubu explained that the proposed increase is based on additional revenue generated by key government agencies.
Tinubu initially presented a N47.9 trillion budget last December, christened the ‘Budget of Restoration: Securing Peace, Rebuilding Prosperity.’
He said:“I am writing to inform you of the availability of additional revenue amounting to N4.5 trillion and to propose its allocation within the 2025 appropriation bill to enhance the budget’s responsiveness to the nation’s most pressing priorities and aspirations.”
The president detailed how the extra revenue will be spent, stating, “Solid Minerals will get N1 trillion; Bank of Agriculture Recapitalization, N1.5 trillion; Bank of Industry Recapitalization, N500 billion; Critical Infrastructure, N1.5 trillion; Military Barracks Accommodation for N250 billion; Military Aviation for N120 billion.”
Also included are irrigation development, N380 billion; transportation infrastructure, N700 billion; and border communities infrastructure: N50 billion.”
Tinubu said no infrastructure, innovation, or progress could be sustained without security.
“The government has a constitutional obligation to secure lives and property. Military expenditure is not merely a fiscal decision—it is a moral imperative,” he said.
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