The Senate, on Tuesday, approved the 2025-2027 Medium Term Expenditure Framework (MTEF) and Fiscal Strategy Paper (FSP).
The approval was sequel to presentation and adoption of the report of Joint Committee on Finance, National Planning and Economic Affairs at plenary in Abuja.
The News Agency of Nigeria (NAN) reports that the report was presented by the Chairman of committee, Sen. Sani Musa (APC-Niger).
NAN also reports that highlights of the approved recommendations of 2025-2027 MTEF/FSP include: approval of projected oil benchmark prices of $75.3 per barrel for 2025, 2026 and 2027 fiscal years.
The senate also approved the three-year projection for domestic crude oil production, which had a significant increase from 1.78 million barrels per day in the preceding year to 2.6, 2.1 and 2.35 for 2025, 2026 and 2027.
It equally approved the projected exchange rate of N1,400 to one dollar for 2025, 2026 and 2027 fiscal years, subject to review in the early 2025, based on monetary and fiscal policies.
The upper legislative chamber approved the projected inflation rates of 15.75 per cent, 14.21 per cent and 10.04 per cent for 2025, 2026 and 2027.
It further approved the projected Gross Domestic Product (GPD) growth rate of 4.6 per cent, 4.4 per cent and 5.5 per cent for 2025, 2026 and 2027 fiscal years.
Given the criteria on review of framework for revenue and expenses, the approved 2025 budget proposed spending stood at N47.9 trillion, of which N34.82 trillion was retained.
New borrowings, which stood at N9.22 trillion, consisting of domestic and foreign borrowings, were also approved.
While debt service was valued at N15.38trillion, pensions, gratuities and retirees’ benefits stood at N1.443trillion, and fiscal deficit at N13.08 trillion.
The senate approved the projected capital expenditure of N16.48 trillion, exclusive of statutory transfers which stood at N4.26trillion, while sinking fund was projected at N430.27 billion.
Another approval was the projected total recurrent non-debt of N14.21trillion and special intervention for recurrent and capital of N200 billion and N7 billion.
It further approved issuance of promissory note programme and bond issuance to settle outstanding claims and liabilities of the Federal Government to state governments.
The senate also approved a quarterly investigative hearing with revenue generating agencies to track their compliance with Fiscal Responsibility Act and reprimand clear contravention of the act.
The upper legislative chamber equally approved that Committee on Finance and Customs initiate an investigative inquiry into operations of import duty exemption certificate programme, with focus on import waivers, its impact on revenue losses by the Federal Ministry of Finance and Nigerian Customs Service.
The Senate President, Godswill Akpabio, in his remarks after the passage of the expenditure framework, commended members of the joint committee and other lawmakers for their legislative inputs, leading to the approval of the 2025, 2026 and 2027 MTEF and FSP.
