President Buhari presents 2021 Budget to National Assembly

On 8 October 2020, President Mohammadu Buhari presented the 2021 Budget to the National Assembly. The estimate for expenditure is NGN13.082 trillion, while revenue is NGN7.886 trillion. The fiscal deficit is NGN5.196 trillion: an increase of 4% compared to the prior year’s figure. President Buhari also disclosed that the Honorable Minister of Finance, Budget, and National Planning would pass the Finance Bill 2020 with the 2021 Appropriation Bill. The Finance Bill 2020 will provide fiscal incentives as well as align with the 2021 revenue projections.

Here are the fiscal parameters and a summary of the 2021 budget.

Assumption 2020 Revised Budget in Q2 20202021 Proposed BudgetChange
Benchmark oil priceUS$28 per barrelUS$40 per barrel43%
Oil production volume (bpd)1.80 million1.86 million3%
Average exchange rate
₦360/ US$1₦379/ US$15%
GDP Growth rate (%)-4.423168%
Capital expenditure₦2.49 trillion₦3.604 trillion46%
Statutory transfer₦0.43 trillion₦0.484 trillion13%
Debt service (inclusive of sinking fund)₦2.95 trillion₦3.344 trillion13%
Recurrent expenditure (non-debt)₦4.94 trillion₦5.65 trillion14%
Total revenue₦5.84 trillion₦7.886 trillion35%
Total expenditure₦10.81 trillion₦13.082 trillion21%
Fiscal deficit₦4.98 trillion₦5.196 trillion4%
2021 Budget proposal by Nigeria President

The 2021 Budget aims to achieve Economic Recovery and Resilience. This concept is to attain Economic Sustainability Plan goals, accelerate the economic recovery rate, and enhance economic diversification, competitiveness, and social inclusion.

To download the 2021 Budget proposal, click here.

Share this