Muhammadu Buhari presents 2019 budget to National Assembly

Muhammadu Buhari presents 2019 budget to National Assembly

President Muhammadu Buhari today presented government spending plan of N8.83 trillion for the 2019 financial year.

The amount was shown in the 2019 Appropriation Bill displayed by the president to a combined gathering of the National Assembly in Abuja.

The News Agency of Nigeria (NAN) revealed that the 2019 aggregate spending estimation is N300 billion lower than the N9.1 billion being executed for the present financial year.

As indicated by Buhari, N4.04 trillion or 50.31% is reserved for repetitive use while N2.03 trillion constitute 22.98% reserved for capital ventures.

Additional evaluations are N492.36 billion for statutory exchanges; N2.14 trillion for deficit overhauling & arrangement of N120 billion as sinking capital.

He clarified that the sinking asset would be utilized to “retire maturing bonds to local contractors”.

The 2019 spending plan depends on an oil generation evaluation of 2.3 million barrels for each day & a conversion scale of N305 to a dollar.

Additional benchmarks are: genuine Gross Domestic Product (GDP) development rate of 3.01 percent & expansion rate of 9.98 percent.

The aggregate anticipated income, as per the president, is N6.97 trillion, which is 3% lower than the 2018 estimation of N7.17 trillion.

Buhari said the anticipated revenue comprised of oil income anticipated at N3.73 trillion & non-oil income assessed at N1.39 trillion.

“The estimate from non-oil revenue consists of N799.52 billion from company income tax; N229.34 billion from value added tax, and customs duties of N302.5 billion.”

“We have reduced our expectations from independent revenue to N624.58 billion.”

“Other revenues expected in 2019 include various recoveries of N203.38 billion; N710 billion as proceeds from the restructuring of government equity in joint ventures, and other sundry incomes of N104.1 billion,” he revealed.

The president clarified that the aggregate N8.83 trillion proposed consumption for 2019 included gifts & contributor money adding up to N209.92 billion.

Buhari said in spite of the fact that the 2019 evaluation was lower than the 2018 spending plan of N9.1 trillion, it was higher than the N8.6 trillion initially proposed by the official to the National Assembly.

The spending deficiency is anticipated to diminish to N1.86 trillion or 1.3 percent of the GDP in 2019 from N1.95 trillion anticipated for 2018.

“This reduction is in line with our plan to progressively reduce deficit and borrowings over the medium term,” he stated.

On sectoral distribution, the president said the Ministry of Interior would get N569.07billion, Defense (N435.62 billion), Education (N462.24 billion) & Health (N315.62 billion).