FEC approves N27.5 Trillion for the Proposed 2024 Budget
Federal Executive Council (FEC) has approved N27.5 trillion for the proposed 2024 budget of the Federal Government
President Bola Tinubu is billed to present the budget bill to the joint session of the National Assembly on Wednesday.
The proposed N27.5 trillion budget is N1.5 trillion higher than the estimates in the Medium Term Expenditure and Strategy Paper (MTEF) bill approved by the National Assembly.
Budget and Economic Planning Minister, Atiku Bagudu, announced the proposed budget’s approval while addressing the state house correspondents at the end of the meeting of the council, presided over by President Tinubu on Monday at the Presidential Villa.
The minister explained that the proposed expenditure was based on the crude oil benchmark price of $77.96 per barrel, and the exchange rate of N750 to a dollar.
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Bagudu said the council also approved a revised MTEF bill.
Also, Finance Minister, Wale Edun said the council approved a concessionary budget support loan of $1 billion from the African Development Bank.
FEC considered the 2024 appropriation bill. You may recall that the Medium Term Expenditure Framework was earlier approved and transmitted to the National Assembly, which the assembly graciously approved and that approved Medium Term Expenditure has the exchange rate of N700 to $1 and equally, the benchmark crude oil price at $73.96 cent.
Mr. President’s determination to find more money to fund our priorities, today the Federal Executive Council further revised the Medium Term Expenditure Framework and Fiscal Policy Framework and two of the important decisions were to use an exchange rate of N750 to $1 and also a benchmark crude oil reference price of $77.96, meaning $4 more than the earlier approval.
This will significantly increase government revenue that Mr. President intends to use in further supporting the ministries, departments, and agencies in the execution of the eight priority areas, particularly Health, Education, infrastructure, security, and other developmental areas.
Equally, the FEC approved the 2024 Appropriation Bill and the presentation of such to the National Assembly by His Excellency, Mr. President.
The bill has an aggregate expenditure of N27,500,000,000,000, which is an increase of over N1.5 trillion from the previously estimated, using the old reference prices.
The forecast revenue is now N18.32 trillion, which is higher than the 2023 revenues, including that provided in the two supplementary budgets.
Equally and commendably, the deficit is lower than that of 2023. Details of the Renewed Hope Budget will be announced by Mr. President when he makes the presentation to the National Assembly.
