By Mercy Aikoye
The House of Representatives has given its approval to the 2025-2027 Medium Term Expenditure Framework and Fiscal Strategy Paper (MTEF/FSP) submitted by President Bola Ahmed Tinubu. This approval paves the way for the presentation of the 2025 budget.
The MTEF/FSP provides the key parameters for preparing the annual budget. The report on the framework was presented for consideration by the Chairman of the House Committee on Finance. The chairman informed members that the report was the result of a joint meeting between both the House and Senate Committees, alongside relevant government agencies.
The House approved several key parameters, including the government’s recommendation of N1400 exchange rate to the dollar, subject to review in the new year. Additionally, an oil production of 2.06 million barrels of crude per day, with a $75 per barrel crude price, was also approved.
The House also approved a projection of 15.75 percent inflation rate and a GDP growth rate of 4.6 percent for 2025. These projections are expected to guide the government’s economic policies and decisions in the coming year.
The approval of the MTEF/FSP is a significant step towards ensuring the country’s economic stability and growth. The framework provides a clear direction for the government’s economic policies and decisions, and it is expected that it will help to promote economic growth and development.
The House also approved the Promissory Note Programme and Bond Issuance to settle outstanding claims and liabilities of the Federal Government owed to states, high-priority judgments, as well as liabilities incurred by federal ministries, departments, and agencies on behalf of the government.
In addition, the House approved the recommendation that a quarterly investigative hearing be held with revenue-generating agencies to track their compliance with the Fiscal Responsibility Act. This move is aimed at punishing those in clear contravention of the Act.
The approval of the MTEF/FSP has set the stage for the presentation of the 2025 budget. The House of Representatives has demonstrated its commitment to ensuring that the government’s economic policies and decisions are guided by a robust framework.
