Nigeria’s cabinet has approved a medium-term fiscal plan projecting total spending of approximately 54.5 trillion naira ($37.71 billion) in 2026, the country’s Minister of Budget and Planning, Atiku Bagudu, announced on Wednesday.
The plan anticipates total federal revenue of 34.33 trillion naira, leaving a deficit of 20.1 trillion naira, equivalent to 3.61% of GDP.
Debt service costs are estimated at 15.9 trillion naira, while non-recurrent debt expenditure is projected at 15.27 trillion naira, highlighting the fiscal pressures facing Africa’s most populous nation, as seen on Reuters.
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Oil, which forms the bulk of Nigeria’s foreign exchange earnings, is benchmarked at $64.85 per barrel, with production expected to average 1.84 million barrels per day (bpd), below the target of 2.06 million bpd, Bagudu said.
The fiscal framework assumes an exchange rate of 1,512 naira per dollar and projects GDP growth of 4.68%, the minister added.
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Image Credit: Pulse
