Atiku: Tinubu’s 2025 Budget Fails to Tackle Nigeria’s Structural Issues
Former Vice President Atiku Abubakar says the ₦49.7tn 2025 budget proposed by President Bola Tinubu is inadequate to address Nigeria’s structural and economic challenges.
In a statement on Sunday, Atiku said the “2025 budget’s capacity to foster sustainable economic growth and tackle Nigeria’s deep-rooted challenges is questionable”
On Wednesday, Tinubu presented the budget estimate before a joint session of the National Assembly. Security and defence, infrastructure, health and education were some of the sectors with high allocations in the ₦49.7tn budget proposal.
Tinubu listed some of the highlights of the budget as defence and security – N4.91tn, infrastructure – N4.06tn, health – N2.4tn, education – N3.5tn, among others.
However, Atiku said the proposal “reflects a continuation of business-as-usual fiscal practices”.
The 2023 presidential candidate of the Peoples Democratic Party (PDP) identified key issues in the budget to include:
Atiku said, “1. Weak Budgetary Foundations: The 2024 budget’s underperformance signals poor budgetary execution. By Q3 of the fiscal year, less than 35% of the allocated capital expenditure for MDAs had been disbursed, despite claims of 85% budget execution. This underperformance in capital spending, crucial for fostering economic transformation, raises concerns about the execution of the 2025 budget.
“2. Disproportionate Debt Servicing: Debt servicing, which accounts for N15.8 trillion (33% of the total expenditure), is nearly equal to planned capital expenditure (N16 trillion, or 34%). Moreover, debt servicing surpasses spending on key priority sectors such as defence (N4.91 trillion), infrastructure (N4.06 trillion), education (N3.52 trillion), and health (N2.4 trillion). This imbalance will likely crowd out essential investments and perpetuate a cycle of increasing borrowing and debt accumulation, undermining fiscal stability.
“In conclusion, the 2025 budget lacks the structural reforms and fiscal discipline required to address Nigeria’s multifaceted economic challenges.”