President Muhammadu Buhari on Thursday presented the 2022 budget estimated expenditure of N16.39 trillion based on a target exchange rate of N410.15/$.
The budget is based on a projected gross domestic growth of 4.2 percent and a 13 percent inflation rate.
The budget has a deficit of N5.01trn, which will be financed through loans and other sources, the president said.
The budget proposal, christened “Budget of Growth and Sustainability” is also predicated on a crude oil price of $57 per barrel, up from the $40/bpd benchmark used for the 2021 budget.
The budget is part of the 2022-2024 Medium Term Expenditure Frameworks, which the National Assembly passed on Wednesday, along with the Fiscal Strategy Paper.
Under the MTEF, Buhari said the main objectives to be achieved include diversification of the economy,
Under the MTEF, the daily crude oil production of 1.88mbpd, 2.23mbpd, and 2.22mbpd was approved for 2022, 2023, and 2024, respectively.
The daily oil production estimate of 1.88mbpd for 2022 includes condensates of 300,000 to 400,000bpd, the president day.
Reviewing the performance of the 2021 budget, the president said that oil revenue target performance was below expectation, while non-oil revenue rose above the target by 7%.
Deficit financing amounting to N5.01 trillion will be through loans and other sources.
