The Speaker of the House of Representatives, Femi Gbajabiamila, Femi Gbajabiamila, has urged the Federal Government to adopt a feasible oil benchmark in the proposed amendment to the 2020 budget.
He spoke on Thursday in Abuja at a meeting of the National Assembly leadership with the Minister of Finance, Budget and National Planning on the revised 2020 budget.
He said the benchmark was critical to the budget because once it is passed into law, it becomes difficult to adjust that benchmark. “And then what happens to the excess?” the speaker queried.
Senate President Ahmad Lawan urged the executive to come up with an amended budget operable and favourable to Nigerians.
He said the federal lawmakers were ready to expeditiously consider the proposed amendment to the 2020 budget which the minister said would be presented to the National Assembly by next week.
Earlier, the Minister of Finance, Zainab Ahmed, said in line with the global economic outlook and relevant domestic considerations, the assumptions underpinning the 2020-2022 Medium Term Expenditure Framework and the 2020 Budget was revised to slash crude oil benchmark price from $57 per barrel to $25 per barrel; reduce crude oil production benchmark from 2.18 million barrels per day to 1.9 mbpd.
She said the amount available for funding the 2020 budget was now estimated at N5.548trn, down from N8.419trn, a revised revenue estimate which is 34 percent (N2.87 trillion) lower than what was initially approved.
She said Federal Government’s aggregate expenditure budget was slashed by N88.412 billion; Statutory Transfer from N560.47 billion to N397.87 billion; and Overhead costs of Ministries, Departments and Agencies of Government from N302.43 billion to N240.91 billion.
Debt Service provision was, however, increased from N2.453 trillion to N2.678 trillion, the minister added.
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