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Post by dansoye1 on Dec 7, 2015 18:07:36 GMT
FG proposes N6trn budget for 2016, sets $38 a barrel oil benchmark
Posted 7/12/15
The Federal Government has proposed a budget estimate of N6 trillion for 2016 with $38 per barrel crude oil price benchmark.
This was the outcome of a three-hour emergency meeting of the Federal Executive Council (FEC) chaired by President Muhammadu Buhari today.
Addressing State House correspondents after the meeting, Budget and National Planning Minister Udoma Udo Udoma, said the government was looking at "expansionist" budget of N6 trillion.
Udoma said the council also approved the Medium Term Expenditure Framework for the 2016 budget.
According to the minister, this sets up the policies of government over the next three years.
He said that 30 percent of the budget estimate would go into capital projects with a view to addressing the nation's infrastructure deficit.
He said the government hoped to fund the budget by increasing non-oil revenue and from funds generated by government agencies, especially the Federal Inland Revenue Service.
The minister explained that the government wanted a prudent and credible budget.
The minister said the council also projected and was working with $38 crude oil price.
Source: www.dailytrust.com.ng/news/business/fg-proposes-n6trn-budget-for-2016-sets-38-a-barrel-oil-benchmark/123100.html
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Post by Shymmex on Dec 7, 2015 23:36:55 GMT
Just 30% for capital expenditure?
Not good enough but still considerably better than GEJ's era for sure.
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Post by Omoluabi on Dec 8, 2015 7:33:59 GMT
If implemented, it'll be a tremendous improvement from GEJ's regime. It's even more so when you realize that there's an increase of 1.7Trillion despite oil benchmark dropping to $38 from $65. This means the govt hopes to get more non-oil revenue in and reduce dependency on oil.
I hope the plan succeeds
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