2025 Budget: Nigeria’s Economy Shows Promising Signs for 2025, Says Finance Minister

The Minister of Finance and Coordinating Minister of the Economy, Wale Edun, has assured the House of Representatives that there are strong signs of positive economic performance in Nigeria for the year 2025......Read The Full Article>>.....Read The Full Article>>

Edun made this assertion during his presentation on the 2025 budget proposal, as well as the Medium-Term Expenditure Framework (MTEF) and Fiscal Strategy Paper (FSP), on Monday.

The minister provided insights into the government’s strategic plans and expressed optimism about Nigeria’s economic recovery, driven by structural reforms and policy adjustments.

Before the Minister’s presentation, Rep. Ibrahim Ayokunle Isiaka, Chairman of the House Committee on National Planning and Economic Development, who presided over the session, engaged the Minister on key economic concerns.

Rep. Isiaka requested the Minister to provide a concise overview of the state of the economy, including insights into the nation’s finances and an analysis of revenue trends to date, along with projections for 2025.

He stated: “Briefly, as we have indicated, we would like the Minister to address the current state of our economy, particularly in terms of our financial standing and revenue performance so far, as well as projections for 2025.”

“Let us take a closer look at the previous trends, particularly in terms of our GDP and inflation rates, as submitted, to determine our current standing. This will allow us to make a comprehensive assessment and submit a well-informed report.”

In response, the Minister stated that, based on projections indicating increased revenue in 2025 and the implementation of other strategic measures, Nigeria is steadily moving away from the economic challenges that have previously hindered growth.

The Minister of Finance, Wale Edun, emphasized, “We do have market pricing and foreign exchange dynamics, which have contributed to a situation where over 5% of GDP has been lost due to multiple factors that disproportionately benefit a select few. This has also created long-term disincentives to growth and investment.”

Edun further highlighted that increasing revenue would play a crucial role in reducing debt service burdens, minimizing borrowing, and fostering economic competitiveness as the economy continues to recover and grow.

The Minister added,”The deficit of that increase which we hope to achieve less but right now we are assuming is about 9.3 trillion naira in new borrowings and the debt service of about two trillion naira”.

“In a nutshell, that backdrop gives you the optimism that the 2025 budget estimates, particularly the one on revenue, will be achieved and the economy will be strong. It will fast up to an inclusive and sustainable growth”.

Speaking earlier, the Chairman, House Committee on Finance, Hon. James Abiodun Faleke said, the Committees are looking at the revenue performances of the MDAs as regards the 2024 Budget as the 2025 proposed Budget is about to commence in January.

He said, “We are now in December. By now, the agencies should be able to provide to us with what revenue we have generated between last year and November.At least for 11 months, we should be able to have that. We are just interested in what revenue we are able to get.

The Committee has emphasized the need to review expenditures and assess their performance, particularly focusing on whether agencies are meeting their financial obligations. This comes in addition to monitoring agencies’ collection percentages. The Committee is keen to determine if these agencies are effectively fulfilling their financial mandates.

In light of this, the Committee has directed Dr. Abubakar Dantsoho, Managing Director and Chief Executive Officer (MD/CEO) of the Nigerian Ports Authority (NPA), to appear before it on Tuesday, December 10th, 2024, without fail.

Hon. Faleke issued this directive after rejecting the presence of Dr. Dantsoho’s representative, Sabiu Musa Danbatta, who informed the Committee that the MD/CEO was away on a special assignment, thus unable to attend the meeting.