Nigeria’s president, Tinubu’s ₦47.9tn ‘Transformation Budget’ for 2025 Prioritises Security, Infrastructure, and Education

Nigeria’s president, Bola Ahmed Tinubu presented a N47.9 trillion ($31 billion) national budget proposal for 2025 before a joint session of the country’s National Assembly on December 18. The budget gives substantial allocations to Security and defence, infrastructure, health, and education.

Joining the president at the budget presentation was the Secretary to the Government of the Federation (SGF), George Akume; and the Chief of Staff to the President, Femi Gbajabiamila; along with other senior government officials.

The budget is titled, “Budget of Restoration: Securing Peace, Rebuilding Prosperity,” indicating the key areas that the government intends to direct its focus.

In his presentation, the president enumerated some of the key features of the budget including defence and security, with an allocation of N4. 91 trillion ($3.1billion); infrastructure, allocated N4.06 trillion ($2.6billion); health, N2. 4 trillion ($1.5billion); and education, N3. 5 trillion ($2.2billion), among others.

Tinubu also stated that “The 2025 budget projects that inflation will decline significantly from the current 34.6% to 15% by the end of next year. Concurrently, the exchange rate will improve from approximately N1,700 per dollar to N1,500. These projections are critical for stabilising the economy and ensuring sustainable growth.

Expressing his dedication to economic revitalisation, Tinubu emphasised that food security is paramount, adding that the government is implementing measures to ensure that Nigerians “are fed and do not go to bed hungry.”

Speaking about the budget, Tinubu emphasised that “Our 2025 plan is not merely another declaration of anticipated government revenue and expenditure; it is a call to action.

“Our nation confronts an existential threat from corruption and insecurity…These obstacles can be overcome through collaborative efforts. We must rewrite the narrative of this nation.”

Some economists say, However, in dollar terms, the budget contracted from $36.7 billion in 2024 to $31 billion in 2025. This reduction in real value limits the potential impact of the budget on economic growth and the well-being of the population.

However, financial analysts say the budget would rely on significantly higher government revenue and far less on borrowing, indicating an increase in revenue and a reduction in borrowing by 75%.

Quick notes on the budget

Explaining some key points of the budget on his X account, the president’s special adviser on media and public communication, Sunday Dare, said the budget aligned with the administration’s Renewed Hope Agenda, emphasising the stabilisation of the economy, enhancement of living standards, and repositioning Nigeria for improved performance, “which is critical at this pivotal moment in Nigeria’s developmental trajectory.”

According to Dare, Tinubu underscored the necessity of persisting with the economic revitalisation and institutional advancement initiated 18 months ago, while recognising the challenges and sacrifices involved, but reaffirmed the importance of continuing these reforms.

Dare said the 2025 Budget intends to consolidate essential policies aimed at reorganizing the economy, enhancing human capital development, increasing trade and investments, improving oil and gas output, and revitalizing the manufacturing sector.

The budget allocations highlight the administration’s strategic priorities, particularly concerning the promotion of the Renewed Hope Agenda and the attainment of developmental goals, Dare added.

The Nigerian economy, he says, is responding positively to economic stimuli, identifying enhancements in revenue generation, economic growth, and foreign reserves, alongside a favourable response to stimulus initiatives, as some notable progress made in the past 18 months.

According to Dare’s analysis, The 2025 budget projects revenues of 34. 82 trillion naira ($22.3billion). The proposed expenditure plan includes support for farmers through funding and resources to boost agricultural production.

Many commentators have said that the successful implementation of the budget hinges on the government’s ability to carry out the proposed projects efficiently, ensuring proper oversight, monitoring, and institutional reforms to minimise corruption and waste.