The Federal Government, on Wednesday, explained that President Bola Tinubu requested to increase the 2025 budget from N49.7tn to N54.2tn to avail more revenue to strengthen the Banks of Agriculture and Industry.
It said the increase would also support its diversification programme by investing more in the solid minerals sector and infrastructure projects.
The Minister of Budget and Economic Planning, Atiku Bagudu, disclosed this to journalists after he saw off President Bola Tinubu at the Nnamdi Azikiwe Airport, Abuja, en route to France.
In a letter dated February 3, 2025, addressed to the Speaker of the House of Representatives, Tajudeen Abbas, Tinubu sought an additional N4.5tn to the 2025 Appropriation Bill being considered by the National Assembly.
Explaining the rationale for the adjustment, Bagudu said it was established that the government-owned enterprises, including the Nigeria Customs Service, can contribute more revenue.
He said, “You will recall, Mr President submitted the N49tn budget to the National Assembly, and legislative work commenced.
“The legislative work continued with interactions between the executive and the national assembly. The National Assembly and the Economic Management Team continued to interrogate all figures.
“In that process, the Senate Committee on Appropriation, Senate Committee on National Planning, and Senate Committee on Finance established that we can generate more revenue by tasking all the institutions to do more, and the Federal Inland Revenue Service confirmed the ability to do more than was submitted.”
He continued, “Equally, it was established that the government-owned enterprises, as well as the Customs Service, could contribute more revenue.
“So, additional revenue amounting to over 4.5 trillion naira was established, and this was taken to the President.
“And guided that this additional revenue should be used further to strengthen the Bank of Agriculture, Bank of Industry, support the diversification program by putting more money in the solid minerals sector and infrastructure projects.”
On the adjustment of the Medium-Term Expenditure Framework, Senator Bagudu said: “Recall that even when the budget was submitted, MTEF was amended.
“The MTEF that was initially approved was for a budget of less than N49tn, so it goes together and so the consequential amendment to the MTEF will certainly follow.”
