Emmanuel Ochayi
BudgIT, a civic-tech organisation promoting transparency in Nigeria, has identified several critical issues in the 2025 Federal Government Proposed Budget. They call on the National Assembly to address these irregularities and ensure the budget aligns with Nigeria’s economic goals.
From unrealistic inflation projections to questionable allocations and omitted project details, BudgIT’s review highlights concerns that could affect the budget’s credibility and effectiveness. This listicle outlines the key irregularities found in the 2025 Budget, emphasising the need for transparency, accountability, and a focus on national development priorities during the review process. They are:
Join our WhatsApp Channel1. Inflation and Unrealistic Projections in 2025 Budget
BudgIT highlighted that the government’s inflation projection of 15% for the 2025 fiscal year is unrealistic. As of November 2024, inflation was at 34.6%, driven by rising food and energy prices. Without a clear plan to address these issues, BudgIT believes this projection could lead to severe budget financing challenges. They advise the National Assembly to exercise caution when reviewing these figures.
2. Concerns Over Oil Price Assumptions in 2025 Budget
The 2025 Budget sets the oil price projection at $75 per barrel, which BudgIT finds feasible. However, they warn against increasing the oil price benchmark to create fiscal space for budgetary insertions. They emphasised that this practice has distorted the government’s long-term development agenda in previous years.
READ ALSO: 2025 Budget: BudgIT Raises Concern Over Non-Funding For Lagos-Calabar Coastal Highway, 60 Agencies
3. Excessive Budgetary Insertions by National Assembly
BudgIT pointed out a recurring issue of budgetary insertions made by the National Assembly. In 2024, there were 7,447 insertions totaling ₦2.24 trillion. These projects often lack proper design and cost estimation, undermining their effectiveness. BudgIT stresses the need for the National Assembly to ensure resource efficiency and align budget decisions with the nation’s economic goals.
4. Omissions in the Breakdown of 2025 Budget
The 2025 Budget lacks detailed breakdowns for several MDAs and government enterprises. BudgIT noted the absence of budgets for the National Judicial Council and over 60 GOEs, including the Nigeria Ports Authority and NIMASA. This omission raises concerns about transparency and accountability in how these funds will be utilised.
5. Questionable Allocation to Regional Development Commissions
BudgIT criticized the allocation of ₦2.49 trillion to five regional development commissions under personnel costs. This approach, they argue, obscures the commissions’ true operational expenses, hindering proper scrutiny and transparency. For comparison, the Ministry of Interior’s budget, covering multiple agencies, is significantly lower at ₦648.84 billion.
6. Omission of the Lagos-Calabar Coastal Road Project
BudgIT also flagged the absence of funding for the Lagos-Calabar Coastal Road project in the 2025 Budget. This omission could lead to reallocating funds from other critical projects, potentially affecting their implementation and the overall credibility of the budget.
7. Concerns Over Military Generals’ Retirement Packages
BudgIT raised concerns about the generous retirement packages for military generals, including bulletproof SUVs and foreign medical trips. These provisions contradict President Tinubu’s earlier commitments to reducing governance costs and may demoralise lower-ranking military personnel who lack similar benefits.
Emmanuel Ochayi is a journalist. He is a graduate of the University of Lagos, School of first choice and the nations pride. Emmanuel is keen on exploring writing angles in different areas, including Business, climate change, politics, Education, and others.
