All You Need To Know About 2017 Budget

Here is all you need to know about 2017 budget in figures

· Budget size: N7.298tn

(20.4% higher than 2016 estimates)

Assumptions, projections

· Benchmark crude oil price – $42.5 per barrel
· Oil production estimate – 2.2 million barrels per day

· Average exchange rate – N305 to the US dollar.

· Aggregate revenue available to fund the federal budget is N4.94tn

· Deficit – N2.36tn (about 2.18% of GDP)

· The deficit will be financed mainly by borrowing which is projected to be about N2.32tn.

· 067tn of borrowing will be sourced from external sources while, N1.254tn will be borrowed from the domestic market.

Expenditure Estimates

The proposed aggregate expenditure of N7.298tn will comprise:

419. Statutory transfers – N419.02bn

420. Debt service – N1.66tn

· Sinking fund – N177.46bn (to retire certain maturing bonds)

2. Non-debt recurrent expenditure – N2.98tn

3. Capital expenditure of N2.24tn (including capital in Statutory Transfers)

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Recurrent Expenditure

A significant portion of recurrent expenditure has been provisioned for the payment of salaries and overheads in institutions that provide critical public services. The budgeted amounts for these items are:

· 37bn for the Ministry of Interior;

· 01bn for Ministry of Education;

· 87bn for Ministry of Defence; and

· 87bn for Ministry of Health.

Capital Expenditure: N2.24tn (30.7% of total budget)

These capital provisions are targeted at priority sectors and projects.

Key capital spending provisions in the Budget include the following:

· Power, Works and Housing: N529bn;

· Transportation: N262bn;

· Special Intervention Programmes:

· Defence: N140bn;

· Water Resources: N85bn;

· Industry, Trade and Investment: N81bn;

· Interior: N63bn;

· Education N50bn

· Universal Basic Education Commission: N92bn

· Health: N51bn

· Federal Capital Territory: N37bn;

· Niger Delta Ministry: N33bn; and

· Niger Delta Development Commission: N61bn;

· N100bn provided in the Special Intervention programme as seed money into the N 1tn Family Homes Fund that will underpin a new social housing programme.

· N 14bn allocated as counterpart funding for the Lagos-Kano, Calabar-Lagos, Ajaokuta-Itakpe-Warri railway, and Kaduna-Abuja railway projects.

Statutory Transfers

· Budgetary allocation to the Judiciary increased from N70bn to N100bn (to enhance the independence and efficiency of the judiciary)

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