₦airaland Forum

The Nigerian Senate has approved the 2025-2027 Medium Term Expenditure Framework (MTEF) and Fiscal Strategy Paper (FSP) presented by the Chairman of the Senate Committee on Finance, Senator Sani Musa, during a plenary session.

The framework outlines the government's three-year fiscal strategy, with key projections and expenditure plans that will serve as the foundation for the 2025 national budget.

Key Highlights of the Approved MTEF/FSP

1. Total Expenditure: A spending plan of ₦47.9 trillion for 2025.

2. Borrowing Plan: A new borrowing proposal of ₦9.22 trillion, encompassing both domestic and foreign sources.

3. Exchange Rate: An average exchange rate assumption of ₦1,400 to the US dollar.

4. Oil Price Benchmark:

a. $75 per barrel in 2025
b. $76.2 per barrel in 2026
c. $75.3 per barrel in 2027

5. Daily Oil Production:

a. 2.06 million barrels in 2025
b. 2.10 million barrels in 2026
c. 2.35 million barrels in 2027

Concerns Over Rising Debt

The framework highlights Nigeria's growing reliance on borrowing to fund its fiscal activities. Projections indicate the Central Bank of Nigeria’s (CBN) credit to the government will grow significantly over the three-year period:

- 2024: ₦38.7 trillion

- 2025: ₦43.7 trillion (+₦5 trillion)

- 2026: ₦48.8 trillion (+₦5.2 trillion)

- 2027: ₦53.6 trillion

As of September 2024, the CBN’s credit to the government had already surpassed the projected figure for the year, standing at ₦42 trillion, exceeding the anticipated ₦38 trillion.

CBN credit—advances and overdrafts provided to bridge government revenue shortfalls—has been a source of concern for analysts and stakeholders, who worry about the sustainability of Nigeria’s growing debt profile.

Implications

The approval of the MTEF/FSP sets the stage for the preparation of the 2025 national budget. However, the government’s increasing reliance on loans to finance its fiscal operations raises critical questions about Nigeria’s economic strategy and long-term financial stability.

The Senate's decision underscores the urgency of implementing measures to diversify revenue streams, reduce dependence on borrowing, and stimulate sustainable economic growth.

Source: The Bureau Newspaper

We are solidly behind our darling president


Jagaban

Asiwaju



2027 to 2031

I wasn't expecting the rubber stamp Senate to do otherwise, na their way. 80% of the budget will end up in individuals bank accounts

APC people, this is how your president runs from reality.

Borrowing is going to continue because most of our IGR for Nigeria comes from 1.6 m bpd of crude oil. That would have made sense if Nigeria was as small as Qatar, but we are 100 times or more larger than that nation.

But we won't do things like taxation, taxation, fighting corruption, and regulating mining, as well as finding more ways to do large scale agric (like in Brazil. Hope our leaders saw what that country is doing...and why it can feed itself without aid ).

But since it means he gets voted out...well, let's go to the Temple of Molech. Molech will give you billions more, all you need to do is make just one more sacrifice to it....

BlackfireX:
We are solidly behind our darling president


Jagaban

Asiwaju



2027 to 2031

Sorry to ask......are you a bot or zombie?
Pls I need an answer

that's how it should be.since nigeria want to be like Lagos State.the amount of money that druggie used in building Lagos can also be tripled to build nigeria.starboy the agbero chairman more money to your account

Lol…I dey pity unborn generation already

Pocket money for our senators to carry Abuja hookup Hoes.
This money is not for capital project.

Public holders will be jubilating already. Too much money to loot. Nigeria always borrow yo loot and squander. In the next few weeks, another one will be ready to borrow again. Nigeria is in problem.

Borrow borrow


Obasanjo deserves daily praises

He never borrowed penny but saved over 70 billion dollars .
This was the Obasanjo administration we saw as well corrupt


Chai

Ride on Mr President 😂😂😂

Tinubu needs a proper shadow think thank who would be properly compensated for advising him on how to improve the country.

9 Trillion!!

This is after removing subsidy on petrol and electricity. Increasing tax and widening the tax net.

By the time this man is done, those of us wey go remain for this country no go pass 20.

Tinubu is like a dilapidated house, nothing good can come from him

omenka1:

Sorry to ask......are you a bot or zombie?
Pls I need an answer

i believe he is both

Doing what they knows best

ok

BlackfireX:
We are solidly behind our darling president


Jagaban

Asiwaju



2027 to 2031

Only Apc online zombies stand with the greatest all time failure of a President Nigeria has ever had.
I'm Real life you will hardly see a pro Apc, na online una just pack unaself put😁

Borrowi borrow govt.

This edifice is gone already for bad management. Why delay demolishing?

Demolish now to avoid collateral damage. The entrapped are crying out for help to escape a violent collapse.

A stitch in time saves nine.

after this what next

Looting mode activated by the useless govt of self serving THIEVES!!!!! 💯💯💯💯📢📢📢📢📢

After globetrotting and crying about out-of-school children, thwy will borrow and beg then start doing hajj, mosques plus lootng. Who is decieving who?

omenka1:

Sorry to ask......are you a bot or zombie?
Pls I need an answer

Na Yoruba Muslim you Dey see so. Most dangerous species of human in the world. I don’t really know why God allocate them to Nigeria

Awon Ashiere Rubber Stamp Bunch of Bastar.....ds!

omenka1:

Sorry to ask......are you a bot or zombie?
Pls I need an answer

He is likely a zombified bot

Nigerians should be patient with this idiot. This was how the idiot built Lagos from scratch!

BlackfireX:
We are solidly behind our darling president


Jagaban

Asiwaju



2027 to 2031

GOD SHALL REMOVE MAD PEOPLES FROM US,THEIR NOT WITH THEIR BRAIN,IDIOT EVERYWHERE

MAAAAAAAAAD PEOPLE CREATE THE HORRIBLE GOVERNMENT,YOU WILL LEARN THE HARD WAY, NO MIRACLE FOR YOUR SILLY BEHAVIOUR, I PRAY THAT TINUBU SHOULD NOT LISTEN TO THE FOOOOOOLISH NIGERIAN CITIZEN,TILL 2027

I wasn't surprised that the Senate acted as expected; that's their approach. 80% of the budget will likely end up in individuals' bank accounts.

If credit from CBN is currently N38 trillion, and expected to surpass N50 trillion in a few years, it simply means that inflation will only get worse than it is at the moment.

Nigerians better brace up for what's coming!