President Bola Ahmed Tinubu’s approval of the 2025 budget signifies a commitment to fiscal accountability, showcasing improved legislative processes under Minister Abubakar Bagudu. Key allocations emphasize economic growth, job creation, and poverty alleviation, focusing on essential sectors such as infrastructure and health. The initiatives aim to strengthen Nigeria’s economic trajectory as the administration approaches its second year.
President Bola Ahmed Tinubu’s approval of the 2025 budget marks a pivotal moment in Nigeria’s fiscal strategies, affirming the administration’s dedication to expediting budgetary processes. Although the approval came two months later than the previous year, there has been a notable enhancement in the efficiency of reviewing budget proposals and legislative approvals in recent times.
Abubakar Bagudu, the Minister of Budget and Economic Planning, has shown exemplary fiscal management since assuming office in August 2023. By swiftly navigating the legislative procedures, he ensured that the 2024 budget received presidential assent by January 2024. His extensive background in economic planning has been recognized as instrumental in this improved budgetary process.
The 2025 budget, referred to as the “Budget of Restoration,” is now functional, serving as a guiding framework for fiscal policies across all ministries, departments, and agencies (MDAs). As the administration nears the end of its second year, it is crucial to assess the Ministry’s achievements in economic recovery, job creation, and poverty alleviation, with a focus on six national priorities, including economic growth and inclusivity.
A primary indicator for evaluating the budget’s success is its effectiveness in addressing employment and poverty reduction. In his 2023 report, Bagudu highlighted the ministry’s facilitation of job creation initiatives through the National Poverty Reduction and Growth Strategy (NPRGS), resulting in the creation of 67,038 jobs during the initial phase.
The Ministry plans to utilize geospatial analytics for optimal resource management and policy formulation, implementing insights from the Multidimensional Poverty Index (MPI) to enhance social service accessibility. Furthermore, the Bagudu-led Ministry effectively coordinated the multi-sectoral NG-CARES program, impacting seven million vulnerable households across 35 states and the Federal Capital Territory, addressing needs arising from the COVID-19 pandemic.
In response to public demand for transparency, Bagudu has emphasized fiscal accountability, ensuring the National Bureau of Statistics (NBS) operates independently and publishes timely inflation data. Preliminary work on GDP rebasing has also commenced, aiming to reflect emerging sectors and bolster Nigeria’s economic standing in Africa.
Historically, previous administrations struggled with resource allocation towards priority sectors. However, under Bagudu’s management, the 2025 budget has allocated N4.06 trillion towards infrastructure, marking a significant investment in key projects such as the Abuja-Kaduna railway and rehabilitation of existing rail lines. Additionally, the health sector received the highest allocation since 2001, alongside significant funding for defence, education, and health.
The implementation and monitoring of the budget have been enhanced through an application termed ‘Eyemark,’ which facilitates public engagement and provides oversight on executed projects. The ministry reported that it monitored over 500 federally funded projects in the 2023 capital budget to ensure accountability and value for investment.
In his first 18 months, Bagudu’s leadership has initiated a new paradigm of fiscal responsibility and strategic planning. The timely budget delivery, prioritization of essential sectors, and establishment of a robust monitoring mechanism are anticipated to positively influence Nigeria’s economic landscape. The 2025 budget embodies a strategic fiscal vision aimed at fostering economic recovery and social advancement, underscoring Bagudu’s commitment to enhancing fiscal stability and sustainable growth in Nigeria.
In conclusion, President Bola Ahmed Tinubu’s approval of the 2025 budget underlines a renewed commitment to fiscal efficiency and accountability in Nigeria. Minister Abubakar Bagudu’s strategic management has led to improved legislative processes and substantial allocations to crucial sectors, particularly infrastructure and health. The initiatives under the Bagudu administration are projected to foster job creation and alleviate poverty, signifying a dedication to Nigeria’s economic recovery and sustainability.
Original Source: businessday.ng
