The Digest:
Finance Minister Wale Edun has stated that the Federal Government is likely to miss its 2025 revenue target by a staggering N30 trillion, with actual earnings projected to be only about a quarter of the original estimate.
Key Points:
- Finance Minister Wale Edun projected a N30 trillion revenue shortfall for 2025, with actual earnings likely around N10.7 trillion versus a N40.8 trillion target.
- He attributed the deficit primarily to weak oil and gas revenues, including poor performance of Petroleum Profit Tax and Company Income Tax.
- Despite the shortfall, Edun stated the government met key obligations like salaries, statutory transfers, and debt servicing through "prudent treasury management."
- He warned that expenditure plans must be flexible and tied to actual revenue inflows, not optimistic projections.
- Budget Minister Atiku Bagudu said the 2026 budget will assume a cautious oil production figure of 1.84 million barrels per day, below the 2.06 million bpd potential.
- The ministers spoke during an interactive session with House of Representatives committees on the 2026-2028 Medium-Term Expenditure Framework.
- Committee Chairman James Faleke called for critical analysis to avoid imprudent economic decisions based on unreliable revenue forecasts.
Sources: The Cable, Vanguard, Punch
