Nigeria: President’s Last Budget Leaves Big Deficit

Nigeria’s President Muhammadu Buhari has signed the 2023 budget of more than $45bn (£37bn) into law. It is the last budget of his administration. The budget reveals that the government wants to sell some public assets in order to lessen the huge deficit, which amounts to just less than 5% of GDP. Alongside the main spending plan is an additional spending plan to deal with the aftermath of the recent nationwide floods which damaged vital infrastructure.

A large portion of the budget is funded by the earnings from crude oil but volatility in the oil price has meant that borrowing has increased and forced the government to look for other ways to raise funds.  Mr Buhari’s two terms in office will come to an end after voters elect his successor next month.