Tinubu unveils bold N49.7trn ‘Restoration Budget’ for 2025, to borrow N13.08trn

President Bola Tinubu

Published By: Kazeem Ugbodaga

By Kazeem Ugbodaga

President Bola Tinubu on Wednesday presented the 2025 fiscal budget proposal, amounting to N49.7 trillion, to a joint session of the National Assembly.

The budget, titled “2025 Budget of Restoration,” seeks approval to address key national priorities and rebuild the economy.

In his address, the President disclosed that the N49.7 trillion budget deficit would be financed through a borrowing plan of N13.08 trillion.

He described the budget as “ambitious but necessary” to secure Nigeria’s future, with a focus on stability, growth, and development.

Tinubu outlined the guiding principles of the 2025 budget, which aim to restore macroeconomic stability, enhance the business environment, promote inclusive growth, and foster equitable income distribution.

He added that the allocations were aligned with his administration’s Renewed Hope Agenda, designed to drive Nigeria’s developmental objectives.

The President detailed the revenue and expenditure projections for 2025, saying the government targets N34.82 trillion in revenue while overall expenditure is projected at N47.90 trillion.

Debt servicing will account for N15.81 trillion, with the budget deficit constituting 3.89% of the Gross Domestic Product (GDP).

Economic projections within the budget include reducing inflation from the current 34.6% to 15% by the end of 2025 and stabilising the naira-to-dollar exchange rate at N1,500, with Crude oil production expected to rise to 2.06 million barrels per day (mbpd).

The President attributed these projections to several factors, including increased petroleum exports, improved security leading to bumper harvests, and enhanced foreign exchange inflows.

The budget prioritises critical sectors, with allocations as follows: Defence and Security: N4.91 trillion; Infrastructure: N4.06 trillion; Health: N2.48 trillion and Education: N3.52 trillion.

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Tinubu emphasised the importance of securing the nation, stating that increased funding for the armed forces, paramilitary, and police was essential to combat insecurity and restore public confidence.

“Insecurity undermines productivity and prosperity. Our administration is committed to ensuring Nigerians live without fear in their homes, farms, and cities,” he said.

Tinubu highlighted the administration’s commitment to infrastructure development, particularly through the Renewed Hope Infrastructure Development Fund.

He noted ongoing projects, such as the Lagos-Calabar Coastal Highway and the Sokoto-Badagry Highway, designed to drive economic growth and create jobs.

On human capital development, the President announced provisions for education and healthcare, saying over N826.90 billion has been allocated to educational infrastructure, including funding for Universal Basic Education (UBEC) and nine new higher institutions.

In the health sector, N402 billion has been earmarked for infrastructure investment, alongside N282.65 billion for the Basic Healthcare Fund.

“Our people are our greatest resource,” Tinubu declared. “We are making record investments to ensure quality education and healthcare services for every Nigerian.”

The budget also prioritises food security, with measures to support farmers and boost agricultural productivity.

Tinubu acknowledged the challenges posed by insecurity but expressed optimism about reviving the sector to eliminate hunger and ensure adequate food supply for Nigerians.

Tinubu urged Nigerians to embrace collective responsibility in addressing the nation’s challenges, calling on public and private sectors to align efforts to achieve the administration’s vision for a prosperous Nigeria.

“This is not just a statement of government revenue and expenditures,” he said. “It is a call to action—a call to rewrite our nation’s narrative and secure a brighter future for all.”