President Bola Tinubu’s administration is set to allocate N6.75tn from the projected N27.5tn budget to defence and security, education, and infrastructure in 2024, as revealed during the presentation of the budget breakdown by the Minister of Budget and National Planning, Abubakar Bagudu. This allocation focuses on enhancing law enforcement capabilities, improving human capital development, and completing vital infrastructure projects to address economic challenges.
Tinubu, in presenting the ‘Budget of Renewed Hope’ to the National Assembly, emphasized the need to prioritize economic growth, stability, better investment environments, poverty reduction, and access to social security. The proposed budget underscores significant increases in allocations to education, infrastructure, health, and defence sectors compared to previous appropriations.
Education receives a notable boost, with a 101.85% increase totaling N2.18tn, reflecting a commitment to prioritizing human capital development. Similarly, funding for defence and security sectors sees a 46.39% increase to N3.25tn, while the health sector experiences a 23.15% increase to N1.33tn.
Regarding infrastructure, the government aims to leverage private sector investments to augment public spending, directing N1.32tn to various projects in power, transport, water resources, aviation, works, and housing. Notably, the emphasis on private sector participation aligns with President Tinubu’s strategy to bridge the infrastructure deficit.
The budget foresees an aggregate expenditure of N27.5tn, with non-debt recurrent expenditure at N9.92tn, debt service at N8.25tn, and capital expenditure at N8.7tn. To fund this, the government targets N10.4tn from tax, dividends, and other sources, promoting a shift towards increasing revenue generation to reduce reliance on borrowings.
Lawmakers have shown appreciation for the budget’s attempt to reduce deficits and bolster capital expenditure, aiming for inclusive town hall meetings to gather public input before passing the budget. However, opposition parties criticize the move, terming it an attempt to legitimize what they consider an ‘illegitimate’ administration.
The budget presentation has triggered mixed reactions, setting the stage for debates and further deliberations in the coming weeks. The National Assembly plans to expedite the passage of the budget while ensuring thorough scrutiny and public engagement.
