Full breakdown of 2017 budget N7.298tn
- Budget size: N7.298tn
(20.4% higher than 2016 estimates)
- 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.
The proposed aggregate expenditure of N7.298tn will comprise:
- Statutory transfers – N419.02bn
- Debt service – N1.66tn
- Sinking fund – N177.46bn (to retire certain maturing bonds)
- Non-debt recurrent expenditure – N2.98tn
- Capital expenditure of N2.24tn (including capital in Statutory Transfers)
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 N1tn Family Homes Fund that will underpin a new social housing programme.
- N14bn allocated as counterpart funding for the Lagos-Kano, Calabar-Lagos, Ajaokuta-Itakpe-Warri railway, and Kaduna-Abuja railway projects.
- Budgetary allocation to the Judiciary increased from N70bn to N100bn (to enhance the independence and efficiency of the judiciary)