The Senate has passed the 2020 appropriation bill, increasing the size from N10.33 trillion to aggregate expenditure of N10.594trillion.
The upper legislative chamber passed the budget following the presentation of a report by the Chairman of its committee on Appropriation, Barau Jibrin.
President Muhammadu Buhari had on October 8, 2019 presented an estimated budget valued at N10.33 trillion.
In line with its power of appropriation, the Senate increased the size of the budget to N10.594 trillion.
The increase will be used for interventions in critical areas such ” as National Security, road infrastructure, Mines and Steel Development, Health, Social Intervention Programmes (SIP), and Water.
In the report presented by Jibrin, N560.47 billion is for statutory transfers (a category into which the National Assembly budget falls).
While the Senate maintained the daily production rate at 2.18 million per barrel, it however, increased the Oil Benchmark Price to $57 per barrel against the $55 proposed by the executive.
The Senate retained inflation rate at 10.81 per cent and exchange rate at N305-$1 as proposed by the executive. It also retained GDP Growth Rate at 2.93 per cent as proposed.
Jubrin said his committee worked harmoniously with the executive for the processing of the bill.
A further breakdown of the budget showed that
Nigeria will expend N2.725 on debt service while about half of the budget, N4.842 trillion will be spent on recurrent expenditure.
Nigeria will spend N2,465 on capital expenditure most of which were rolled over from 2019.
Jibrin explained that the increase allows for intervention in critical areas like security, infrastructure, mines and steel development, social development, among others.
This, he said, is in line with the budget thrust of the government “which is focused on growing development and sustainable growth.”
He also said the committee adopted the 2020-2022 Medium Term Expenditure Framework (MTEF) and the Fiscal Strategy Paper (FSP) as approved by the National Assembly.
This is as he urged his colleagues to adopt the recommendations of the committee.
The Senate President, Ahmad Lawan, thanked his colleagues and the executive for the cooperation, He also admonished the executive to ensure full and effective implementation of the budget of the budget.
Boasted that the ninth Senate has achieved one of its key promises to return the budget cycle to January – December.
We have done so much in a short while. We have given the executive everything they need – budget, finance bill, MTEF, among others.
Lawan said the Senate will interact with Ministries, Departments and Agencies on quarterly basis in 2020 to monitor implementation of the budget.
“We hope that with this budget passed, the executive will ensure full implementation for the benefit of all Nigerians,” he said.
