President Muhammadu Buhari, today, Friday, presented a record N20.5 trillion 2023 appropriation bill to a joint session of the national assembly.
The national assembly had approved the medium-term expenditure framework (MTEF) and fiscal strategy paper (FSP) — parameters on which the 2023 budget will be framed.
Buhari, during the presentation, said the 2023 transition budget was designed to address critical issues and lay a solid foundation for the incoming administration.
According to him, based on the parameters and fiscal assumptions, the revenue generation should hit about N16.87 trillion.
The budget is christened ‘Budget of Fiscal Consolidation and Transition’.
A breakdown of the budget shows that N744.11 billion was earmarked for statutory transfers, N8.27 trillion for non-debt recurrent costs, N1.1 trillion for overhead costs, and N5.35 trillion for capital expenditure.
“We expect the total fiscal operations of the federal government to result in a deficit of N10.78 trillion,” Buhari said.
“This represents 4.78 percent of estimated GDP, slightly above the 3 percent threshold set by the Fiscal Responsibility Act 2007.
“As envisaged by the law, we need to exceed this threshold considering the need to continue to tackle the existential security challenges facing the country.”