President Muhammadu Buhari presented the National Assembly’s joint session with the 2022 budget, which contains an N6.2 trillion deficit that would be paid by borrowing.
While laying out the budget, President Buhari justified his government’s borrowing. Nigeria would still be in recession, he claimed, if his administration had not borrowed.
“As you are aware, we have experienced two economic downturns under this government.
We had to spend our way out of recession in both situations, which entailed an increase in the national debt. “Without the persistent government expenditure backed by debt, our recovery from either of the two recessions would not have progressed as quickly,” he said.
Nigeria, according to the president, has a revenue problem rather than a debt crisis.
Nigeria would borrow N5.01 trillion to cover the deficit, with N90.73 billion coming from privatization earnings and N1.16 trillion coming from loans secured for specific economic projects.
Buhari submitted a total budget of N16.39 trillion. Statutory transfers are N768.28 billion, recurrent costs are N6.83 trillion, and overhead is N792.39 billion.
N5.35 trillion in capital expenditure, N3.61 trillion in debt payment, and N292.71 billion in sinking fund.
The Senate President, Ahmad Lawan, stated in his speech that the National Assembly will pass the budget before the end of the year.