President Muhammadu Buhari on Tuesday, October 02, 2016 sent a draft of the 2017 Budget to the upper house of the parliament for approval.
The 2017 budget draft detailed plans to spend a record of 6.86 trillion naira ($22.57 billion) in an attempt to pull Africa’s biggest economy out of recession.
production of 2.2 million barrels a day, as well as an exchange rate of 290
Naira to the U.S. dollar.
naira budget and seeks to stimulate growth in Africa’s most populous nation by
funding infrastructure development to increase manufacturing, create jobs and
reduce costly imports.
first time in more than 20 years in the second quarter largely due to low
global oil prices. Crude oil sales account for about two-thirds of government
restore the economy to a sustainable inclusive growth path,” said the
document, adding that the focus is to “utilise targeted spending in
critical sectors that have quick transformative capabilities.”
be approved by the Senate before the final budget for next year is submitted.
The 2016 budget became law in May after being delayed by several weeks due to
wrangling between the government and Senate.
attacks on energy facilities that have cut crude production, which was 2.1
million barrels per day (bpd) at the start of 2016, by 700,000 bpd.
at a price of $42.50 per barrel.
bpd in 2018 and 2019 at an average price of $45 per barrel and $50 per barrel
Tuesday after rising earlier to $51.37, its highest since June 10, on optimism
about planned OPEC output cuts.
investment in its power, road and rail network.
repeatedly stated the need to expand the country’s manufacturing base to end
the reliance on crude exports and cut the country’s $20 billion annual food
“more developed infrastructure base” in order to “stimulate real
sector productivity, job creation and increased private sector
since a peg holding it at 197 to the U.S. dollar was removed in June after 16
months. The currency has hit record lows against the dollar on the black market
in recent weeks.
exchange rate of 290 Naira to the U.S. dollar and projects gross domestic
product (GDP) to grow by 3.0 percent in 2017. GDP contracted by 2.1 percent in
the second quarter of this year.
August, is “expected to moderate to 12.92 percent” next year.