President Muhammadu Buhari on Thursday presented the 2022 budget proposal of N16.39 trillion before a joint session of the National Assembly.
Titled “Budget of Economic Growth and Sustainability”, the proposal was based on the oil benchmark appropriation for 2022 of $57 per barrel and exchange rate of N410.5 per dollar.
Projected to stimulate GDP growth by 4.2 per cent, while inflation rate is put at 13 per cent, it was also based on a projected oil production of 1.88m barrels per day including condensates. It also put estimated budget deficit at N6.23 trillion.
While presenting the budget, Buhari said, “Defence and internal security will continue to be our top priority. We remain firmly committed to the security of life, property and investment nationwide. We will continue to ensure that our gallant men and women in the armed forces, police and paramilitary units are properly equipped, remunerated and well-motivated.
“The 2022 budget is also the first in our history, where MDAs were clearly advised on gender responsive budgeting. These are part of critical steps in our efforts to distribute resources fairly and reach vulnerable groups of our society.
He said: “Distinguished Members of the National Assembly, the 2022 to 2024 Medium Term Expenditure Framework and Fiscal Strategy Paper sets out the parameters for the 2022 Budget as follows:
“Conservative oil price benchmark of 57 US Dollars per barrel;
“Daily oil production estimate of 1.88 million barrels (inclusive of Condensates of 300,000 to 400,000 barrels per day); Exchange rate of four 410.15 per US Dollar; and projected GDP growth rate of 4.2 percent and 13 percent inflation rate.
“Based on these fiscal assumptions and parameters, total federally-collectible revenue is estimated at 17.70 trillion Naira in 2022.
“Total federally distributable revenue is estimated at 12.72 trillion Naira in 2022 while total revenue available to fund the 2022 Federal Budget is estimated at 10.13 trillion Naira. This includes Grants and Aid of 63.38 billion Naira, as well as the revenues of 63 Government-Owned Enterprises.
“Oil revenue is projected at 3.16 trillion, Non-oil taxes are estimated at 2.13 trillion Naira and FGN Independent revenues are projected to be 1.82 trillion Naira.
” A total expenditure of sixteen point three-nine (16.39) trillion Naira is proposed for the Federal Government in 2022.or the economies to survive and thrive
Buhari arrived at the National Assembly Complex in the company of governors, ministers, and heads of Federal Government agencies.
He noted that the 2022 Appropriation bill is tagged a “Budget of Economic Growth and Sustainability.” It is estimated at ₦16.39trillion.
He stated that the budget was designed “to build on the achievements of previous budgets and to deliver on our goals and aspirations as will be reflected in our soon-to-be-launched National Development Plan of 2021 to 2025.”
He said allocations to MDAs were guided by the strategic objectives of the National Development Plan of 2021 to 2025, which are: Diversifying the economy, with robust MSME growth; Investing in critical infrastructure; Strengthening security and ensuring good governance; Enabling a vibrant, educated and healthy populace; Reducing poverty; and Minimizing regional, economic and social disparities.
“Defence and internal security will continue to be our top priority. We remain firmly committed to the security of life, property and investment nationwide,” Buhari said.
“We will continue to ensure that our gallant men and women in the armed forces, police and paramilitary units are properly equipped, remunerated and well-motivated.
“The 2022 budget is also the first in our history, where MDAs were clearly advised on gender-responsive budgeting. These are part of critical steps in our efforts to distribute resources fairly and reach vulnerable groups of our society.”
Buhari commended members of the National Assembly for “the expeditious consideration and passage of the Supplementary Appropriation Bill 2021. This further underscores your commitment to our collective efforts to contain the COVID-19 Pandemic and address the various security challenges facing our country.”
Senate President, Ahmed Lawan, said the National Assembly is committed to passing the budget before the end of the year.
He also lauded the 2021 budget for being the first to be fully implemented and credited that for helping Nigeria recover from the 2020 economic recession.
