Tinubu targets 3.76% economic growth in 2024

President Bola Tinubu has submitted the 2024 national budget amounting to N27.5 trillion to the National Assembly. Named the ‘Budget of Renewed Hope,’ the fiscal proposal was presented during a joint session in Abuja. President Tinubu emphasized plans to overhaul Nigeria’s internal security architecture to bolster law enforcement capabilities, ensuring the protection of lives, property, and investments nationwide.

To enhance budget efficiency, the government will prioritize value for money, increased transparency, and accountability, with a closer collaboration with development partners and the private sector. President Tinubu underscored the crucial role of a stable macro-economic environment in catalyzing private investment and accelerating economic growth. The administration aims for a minimum economic growth of 3.76%, surpassing the projected global average, with an expected inflation rate of 21.4% in 2024. The budget emphasizes Nigeria’s commitment to a greener future.

After careful review of global oil market trends, the budget adopts a conservative oil price benchmark of $77.96 per barrel, a daily oil production estimate of 1.78 million barrels, and an exchange rate of N750 per U.S. Dollar for 2024. The 2024 Appropriation Bill breaks down the aggregate expenditure of N27.5 trillion for the Federal Government, including non-debt recurrent expenditure of N9.92 trillion, debt service projected at N8.25 trillion, and capital expenditure at N8.7 trillion. The government remains committed to meeting its debt obligations, with projected debt service accounting for 45% of the expected total revenue.

The budget deficit is projected at N9.18 trillion or 3.88% of GDP, lower than the 2023 deficit. Financing will involve new borrowings totaling N7.83 trillion, N298.49 billion from privatisation proceeds, and N1.05 trillion drawn down on multilateral and bilateral loans secured for specific development projects.

Senate President Godswill Akpabio, in his address, assured President Tinubu of the National Assembly’s commitment to streamlining some government agencies for efficiency and cost-effectiveness. He urged the President to ensure the availability of heads of Ministries, Departments, and Agencies of Government for their 2024 budget defense sessions before the National Assembly.