President Muhammadu Buhari has presented the 2021 budget proposal of N13.08trillion to the National Assembly for consideration and passage into law.
The President, who was accompanied by Vice-President Yemi Osinbajo, some cabinet members and presidential aides, arrived the premises of NASS at about 11.03p.m.
He explained that the total aggregate revenue projected for the 2021 budget was N7.86 trillion with a deficit of N5.2 trillion, representing 3.4 per cent of the GDP.
He said the deficit would be financed mainly by new borrowing, totalling N4.28trillion.
Buhari stated that the total revenue available to fund the 2021 federal budget was estimated to N7.886trillion which included grants and aids of N354.85billion as well as revenues of 60 government owned enterprises.
According to him, the budget, which is described as a budget for Economic Recovery and Resilience, is based on an estimated oil price benchmark of 40dollars per barrel, daily oil production estimate of 1.86 million barrels (inclusive of condensates of 300,000 to 400,000 barrels per day) and an exchange rate of N379 per dollar.
He stated that N3.12trillion had been earmarked for debt servicing in 2021 as against N2.1trillion in 2020
The president, who reviewed the performance of the 2020 budget so far, said the budget was amended in response to the challenges occasioned by the COVID-19 pandemic.
“As at July 2020, the Federal Government’s actual revenue available for the budget was N2.10 trillion.
“This revenue performance was only 68 percent of our pro-rated target in the revised 2020 budget.