Nigeria’s President, Muhammadu Buhari, on Tuesday presented a 2016 budget proposal of 6.07 trillion Naira.
Nigeria’s 2016 Budget is based on a crude oil benchmark price of $38 per barrel and a production estimate of 2.2 million barrels per day for 2016.
|GDP Growth Rate Projection||4.37%|
|Revenue Projection||3.86 Naira|
|Deficit||2.22 trillion Naira (equivalent to 2.16% of Nigeria’s GDP)|
|Oil Related Revenues||820 billion Naira|
|Non-oil Revenues||1.45 trillion Naira|
|Projected Independent Revenues||1.51 trillion Naira|
|Capital Expenditure||1.8 trillion Naira (30% of total budget)|
|Works, Power and Housing||433.4 billion Naira|
|Transport||202.0 billion Naira|
|Interior||53.1 billion Naira|
|Special Intervention Programs||300 billion Naira|
|Education||369.6 billion Naira|
|Defence||294.5 billion Naira|
|Health||221.7 billion Naira|
|Ministry of Interior||145.3 billion Naira|
|Foreign and Domestic Debt Service||1.36 trillion Naira|
|Sinking Fund towards the retirement of maturing loans||113 billion Naira|
|Non-debt Recurrent Expenditure||2.65 trillion Naira|
Deficit will be financed by a combination of domestic borrowing of N984 billion, and foreign borrowing of N900 billion totalling N1.84 trillion.
There is a proposed a 9% reduction in non-debt recurrent expenditure, from N2.59 trillion in the 2015 Budget to N2.35 trillion in 2016.
The budgeted N300 billion for Special Intervention Programs, takes the total amount for non-debt recurrent expenditure to N2.65 trillion.
The Efficiency Unit set up by the current Administration, together with effective implementation of GIFMIS and IPPIS, will drive a reduction of overheads by at least 7%, personnel costs by 8% and other service wide votes by 19%.