President Muhammadu Buhari on Thursday presented the N13.08trillion budget estimates for the year 2021 to the joint session to the National Assembly for approval.
He also clarified that there is no going back on deregulation of oil sector in the country.
The President stated this at the presentation of the 2021 Budget to the Joint Sitting of the National Assembly.
President Buhari emphasized that governments generation of revenue remains the major challenge facing his administration, thereby calling on federal legislators to pay as much attention to that.
The President also said he had directed ministers to monitor strictly revenue generation by the government agencies.
Senate President Ahmad Lawan, while speaking gave the assurance that the budget will be passed before the end of the year, while the speaker, House of Representatives, Femi Gbajabiamila commended the President for fulfilling his promise on the passage of the 2020 budget.
According to him, the 2021 Budget proposal like in 2020 has reflected Nigeria’s priorities and departure from reliance on oil as the main source of revenue by its focus on economic diversification.
He also emphasised that, lesson learnt in 2020 should be considered in the 2021 budget.
The budget estimate has an aggregate revenue projection of N7.89 trillion with a deficit of N4.48 trillion.
The budget proposal is predicated on N379 per dollar exchange rate; oil benchmark of $40 barrel per day; and oil production volume of 1.86 million per day, while inflation growth rate was projected at 11.95 percent; and Gross Domestic Product (GDP) growth rate was fixed at 3 percent.
The total capital expenditure projected in the budget is N3.58 trillion, while the budget breakdown shows that N5.66 trillion is budgeted for recurrent (Non-Debt) expenditure; N3.05 trillion for Personnel Costs; N350 billion for Special Intervention (Recurrent); and N20 billion for Special Intervention (Capital).
For Sectoral Allocations, Mnistry of Power is to receive N198 billion, Ministry of Defence N121 billion, Works and Housing N440 billion, Ministry of Water Resources N146 billion and Ministry of Health N132 billion.
Others are Ministry of Defence N110 billion, Ministry of Education N127 billion, UBEC N70 billion, Zonal Intervention Projects (ZIP) N100 billion, and Niger Delta Development Commission (NDDC) N64 billion.