Despite the passage of Nigeria’s N54.99 trillion 2025 Appropriation Bill by federal lawmakers, concerns persist over whether the budget will truly address the deepening economic hardship confronting millions of Nigerians.
Development Diaries reports that the National Assembly passed the budget for the 2025 financial year, increasing the initial proposal by N700 billion from N54.2 trillion.
A major reason for the increase was due to the recent action by the United States government to suspend foreign development support through the USAID.
With inflation at record highs, a weakened naira, and an escalating debt crisis, the budget’s expansion raises questions about its sustainability and effectiveness in delivering tangible improvements in Nigerians’ daily lives.
The allocation of N14.3 trillion for debt servicing alone highlights the nation’s heavy fiscal burden, leaving doubts about how much impact the capital and recurrent expenditures will have on economic stability.
Beyond its size, the budget’s structure remains a point of contention, as critics argue that the increased allocations do not necessarily translate to economic relief for struggling Nigerians.
The government’s decision to provide N300 billion to offset the withdrawal of U.S. healthcare support is commendable, but it raises questions about long-term sustainability and whether alternative funding models should have been considered.
Additionally, the emphasis on infrastructure spending, while crucial, may not immediately ease economic challenges such as unemployment, food insecurity, and rising living costs, which require more targeted interventions.
The Speaker of the House of Representatives, Tajudeen Abbas, admitted that Nigeria is struggling with revenue generation due to poor tax policies.
While the government plans to improve tax collection, it remains uncertain whether these efforts will be enough to cover the huge spending plans.
If the government cannot generate enough money, it may have to borrow more, increasing Nigeria’s already heavy debt burden.
Given these concerns, Nigerians must pay close attention to how the government spends this money. Citizens should demand transparency and accountability from lawmakers and government agencies to ensure the Approriation Bill, when signed into law, benefits every Nigerian.
Development Diaries calls on all Nigerians to, in the coming months, stay informed and engaged in discussions about the budget’s implementation and actively engage their lawmakers in budget tracking, advocacy, and policy discussions to ensure that public funds are used effectively.
We also call on lawmakers and the ministries, departments, and agencies of government to provide clear, accessible updates on how budgetary allocations are being spent to foster trust and encourage public participation in governance.
