Admin l Monday, May 27, 2019
ABUJA, Nigeria – President Muhammadu Buhari today signed 2019 budget into law. The budget, which was presented to the National Assembly in December 2018 comprises a total sum of N8.83 trillion.
The National Assembly however passed N8.916 trillion, about N90 billion higher than the N8.83 trillion that was presented by President Muhammadu Buhari to a joint session of the house.
The lawmakers approved the sum of N23.678bn as severance gratuity for outgoing legislators and legislative aides, allowances for incoming legislators and legislative aides as well as induction programme/inauguration of the 9th Assembly
A breakdown of the budget shows that N4.04 trillion is set aside as recurrent cost, while N2.14 trillion is earmarked to service debt. Statutory transfers stood at N492.36 billion while N2.031 trillion is for capital expenditure.
Besides, N120 billion was earmarked as sinking fund to retire maturing bond to local contractors.
While presenting the budget, President Buhari explained that of the sum of N2.14 trillion provided for debt service, 80 percent will be used to service domestic debt which currently accounts for about 70 percent of the total debt.
“Although our national debt is within sustainable limits, we need to increase our domestic resource mobilization to bring down our debt-revenue ratio over the medium term”, he said.
A breakdown of the recurrent expenditure shows that N569.07 billion is for the Ministry of Interior; N435.62 billion for the Ministry of Defence; N462.24 billion for the Ministry of Education; and N315.62 billion for the Ministry of Health.
