Nigerian National Assembly Passes 2016 Budget
Nigeria’s 2016 Appropriation bill was fraught with drama since it was submitted to the National Assembly by the Presidency.
The appropriation bill was declared ‘missing’ from the National Assembly before the Presidency ostensibly ‘withdrew’ the budget to make corrections. After it was resubmitted, the Appropriation bill came under heavy criticism for being ‘padded’ and once again, the Presidency withdrew the bill for correction.
Nigeria’s National Assembly finally passed the bill into law on Wednesday; the N6.06 trillion budget sees a reduction of N17bn from the original draft budget.
N1.587trn is earmarked as the capital expenditure portion of the budget while the recurrent expenditure stands at N2.646.3trn. The sum of N351.37bn was voted for Statutory transfers and N1.475.3trn for Debt Service.
Perhaps one of the greatest challenges of the 2016 budget will be sourcing finance for the huge deficit of N2.2 Trillion seeing as the budget benchmarks the price of crude oil at $38 per barrel.