The proposed N27.5 trillion budget for 2024 is “too small” to address Nigeria’s economic needs, Ben Akabueze, the Director-General of the Budget Office of the Federation has said.
While acknowledging the government’s commitment to fiscal responsibility, Akabueze stressed that the budget is insufficient to adequately address the country’s economic obligations.
Akabueze, speaking on Channels TV on Wednesday, stated that the budgetary allocation is “conservative” compared to the government’s economic needs.
He said, “I’m always first to acknowledge that the budget of the Federal Government of Nigeria is way too small relative to our needs and our requirements but it is now a case of cutting our coats according to our cloth rather than our size.
“The reason this budget is this small is because our public revenues are also too small. We also need to keep the focus on that.”
Responding to the International Monetary Fund’s (IMF) projection of 3.1% economic growth for Nigeria in 2024, Akabueze expressed doubt in its accuracy.
He noted that the IMF’s assessments have been incorrect in the past four years and argued that the government’s projection of 3.76% growth is more realistic.
He said, “In the last four years, the IMF has got it wrong about our projections. Organisations can’t get it right better than the people who have direct responsibility for managing their individual economies.
“Our actual growth has always beat their projections.”
President Bola Ahmed Tinubu’s 2024 budget proposal, presented last week, includes a total aggregate revenue projection of N18.32 trillion and a deficit of N9.18 trillion. The budget prioritises capital expenditure (N8.7 trillion) and aims to address key areas such as healthcare, security, education, and the economy, with a focus on improving the well-being of the less fortunate.
Akabueze further stressed that the 2024 budget prioritises the well-being of the impoverished, with a focus on healthcare, security, education, and the economy.