President Muhammadu Buhari has on Thursday presented the 2022 budget proposal to a joint session of the National Assembly.
Buhari, who addressed the joint session of lawmakers from the two chambers of legislative arm, unveiled a budget of N16.39 trillion with a crude oil benchmark price of $57 per barrel, daily oil production estimate of 1.88 million barrels per day and exchange rate of N410.15 to the dollar for the 2022 fiscal year.
While giving a breakdown, the President said N768.28 billion is for statutory transfers, N6.83 trillion for non-debt recurrent expenditure and N5.35 trillion for capital expenditure, while the 2022 Budget deficit is projected at N5.20 trillion.
He added that debt service is estimated at N3.61 trillion; while provision for the Sinking Fund for maturing debts is placed at N292.71 billion.
According to President Buhari, oil revenue is projected at N3.15 trillion and non-oil revenue is estimated at N2.13 trillion.
He further stated that the deficit will be financed mainly by new borrowings of N5.012 trillion.
President of the Senate, Ahmad Lawan, in his opening remarks commended President Buhari for the budget trajectory, saying that with the 2022 budget, it is important to prioritise the completion of ongoing projects.
Speaking of the government’s resort to external borrowing, Lawan raised concerns over the nation’s debt sustainability.
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This he said, generating more revenues through the agencies will reduce the government’s deficit and dependence on external borrowing to fund the country’s national budget.
President Buhari said the 2022 budget is titled ‘Economic Recovery and Sustainability’.
