Budget Aims for Economic Stability
President Bola Tinubu, during the presentation of the 2025 Appropriation Bill to the 10th National Assembly in Abuja on Wednesday, announced an exchange rate target of N1,500 per dollar. This move is intended to facilitate the smooth execution of the forthcoming year’s budget.
Projected Economic Improvements
This target signifies a decrease of approximately N200 from the existing rate of N1,700 to the dollar. Tinubu highlighted that the 2025 budget envisions a significant reduction in inflation from 34.6% to 15% next year, alongside an improved exchange rate. He set the base crude oil production at 2.06 million barrels per day.
READ ALSO: Tinubu Predicts Sharp Decline in Inflation with 2025 Budget
Strategies for Economic Growth
Tinubu based these projections on several strategic observations:
- Decrease in Petroleum Imports: By reducing reliance on imported petroleum products, Nigeria aims to save foreign exchange.
- Increase in Petroleum Exports: Enhancing the export of refined petroleum products is expected to boost foreign currency earnings.
- Agricultural Boost: A bumper harvest, facilitated by improved security, will lessen the need for food imports.
- Foreign Investment: Encouraging more foreign portfolio investments to increase forex inflows.
- Oil Sector Efficiency: Anticipated improvements in crude oil output and exports, alongside cost reductions in upstream oil and gas production.
