In a significant move aimed at fostering economic growth and enhancing national security, President Bola Ahmed Tinubu has proposed a N4.52 trillion increase in the 2025 national budget. The budget augmentation, the President explained, is strategically focused on strengthening key sectors such as solid minerals, agriculture, industrial development, infrastructure, and national security.
Addressing lawmakers and stakeholders, President Tinubu stated that the additional funding underscores his administration’s commitment to inclusive economic growth, diversification, and national security.
Key Allocations in the Budget Increase
The President outlined the breakdown of the budget increase across various critical sectors:
- Solid Minerals Development – N1 Trillion: This allocation is aimed at unlocking the vast potential of Nigeria’s solid mineral resources, which remain largely untapped. The funds will be directed towards exploration, extraction, and value addition to position the sector as a key driver of non-oil revenue.
- Recapitalisation of the Bank of Agriculture (BoA) – N1.5 Trillion: Recognizing the role of agriculture in ensuring food security and economic stability, the government has earmarked this amount to empower smallholder farmers and agribusinesses, ensuring they have access to affordable credit for mechanisation and improved productivity.
- Recapitalisation of the Bank of Industry (BoI) – N500 Billion: This is aimed at boosting small and medium enterprises (SMEs) and the local manufacturing sector, ultimately reducing Nigeria’s dependence on imports and enhancing industrial capacity.
- Critical Infrastructure Projects (RHID Fund) – N1.5 Trillion: This fund will be channeled into large-scale national infrastructure projects essential for economic transformation and sustainable development.
- Transportation Infrastructure (Roads and Rail) – N700 Billion: Of this amount, N300 billion is allocated for the rehabilitation and construction of critical roads, while N400 billion will be invested in the development of light rail networks across urban centres to improve mobility and economic connectivity.
- Irrigation Development – N380 Billion: This initiative aims to support year-round farming, ensuring water security and boosting agricultural productivity.
- Border Communities Infrastructure – N50 Billion: Funds will be directed towards improving social amenities and security in border regions, fostering stability and facilitating legal cross-border trade.
- Military Barracks Accommodation – N250 Billion: This allocation is intended to provide modern and expanded housing for military personnel, enhancing their welfare and operational readiness.
- Military Aviation – N120 Billion: The government will invest in modernizing military aviation capabilities, ensuring the armed forces remain agile and equipped to tackle emerging security threats.
President Tinubu emphasized that the increased spending is not just about meeting immediate needs but about laying a solid foundation for Nigeria’s long-term prosperity.
“By investing in our armed forces, we affirm our resolve to end terrorism, safeguard the dignity of our people, and create conditions for economic prosperity,” he stated.
He added that the budget increase reflects his administration’s vision to build a Nigeria where citizens can thrive without fear, with sustainable economic opportunities and enhanced national security.
With the proposed budget increase now before the National Assembly, the next stage will be deliberations and approvals to facilitate the execution of these ambitious plans.
