On 19th December 2019 between 1240 to 1335hours at a Joint seating comprising both Senate and House of Representative Member, President Muhammadu Buhari presented the 2019 Appropriation Bill of N8.83 trillion.
The presentation was greeted with cheers and jeers from legislatures as the President arrives the green chamber amidst applause from supporters and freedom songs from the oppositions.
The shouts of ‘Sai Baba’ to welcome the president was accompanied by chants of anti-Buhari supporters where some lawmakers sang protest songs: of “freedom cometh by struggle, freedom comes by struggle, by struggle freedom come.”
During the presentation, President Buhari disclosed that this being his last budget presentation to the 8th National Assembly, he will review his economic developments in the last three years, with particular reference to 2018 financial year.
He disclosed that the Gross Domestic Product (GDP) has increased from 1.7 percent in the third quarter of 2017 to 1.81 percent in the third quarter of 2018. He asserted that the foreign reserve has increased from $20.57 billion in May 2016 to $42.92 billion in December 2018.
On the inflation, he asserted that it dropped to 11.28 percent in November 2018 as against 18.72 in January 2017.
Also, the President stated that out of the N9.2 trillion budgeted in 2018, N4.59 trillion has been spent as at September 30th, 2018 as against the N6.84 trillion target. Adding that other items not actualized in the budget have been rolled over to 2019 financial year.
The President disclosed tha, the 2019 Budget has been prepared on the following assumptions:
- $60 per barrel of oil
- 2.3 million barrels per day
iii. N305 to $1 exchange rate
- Real GDP growth of 3.01 per cent
- Inflation rate of 9.98 per cent
On subsidy, the President revealed that it was abused in the past but his Government has made NNPC the sole importer and now, the under recovery is from NNPC account while false claims by marketers is now thing of the past.
Details of the 2019 Proposed Budget as follows:
A total of N8.83 trillion is proposed as 2019 budget, with the breakdown being:
- Recurrent – N4.04 trillion
- Debt service – N2.14 trillion
- Statutory transfer – N492.36 billion
- Sinking fund – N120 billion
- Capital expenditure – N2.031 trillion
President Buhari also affirmed his commitment to a new minimum wage and that, he will set up a technical committee to advice on how to fund the new minimum wage without extra borrowing.
Going into the details of the budget, M.r Buhari disclosed that:
- N65 billion has been set aside for the Amnesty Programme in the 2019 budget;
- N45 billion for the North-East Intervention Fund;
- N10 billion take off capital for the North East Development Commission;
- N15 billion has been set aside for the recapitalization of the Bank of Agriculture (BOA) and Bank of Industry (BOI); and
- N10 billion has been provided for SMSEs.
President stressed that the Budget was prepared after wide consultation. He urged the lawmakers to expedite passage of the budget despite their preoccupation with election activities. He then laid the 2019 Appropration Bill and left the NASS amidst rowdy chanting of support and protest by the Members.
