Nigeria’s Senate Approves 13.5 Trillion Naira Spending Plan

By Sahabi Abdul

Nigerian senators passed the 2021 Appropriation Bill, keeping to a pledge to President Muhammadu Buhari to approve the spending plan in time.

Total estimated expenditure for the year is 13.5 trillion naira, based on an oil price of 40 dollars per barrel and an exchange rate of 379 naira a dollar.

Out of the sum, 4.1 trillion naira will be spent on capital projects, with 5.6 trillion going for recurrent expenditures, such as salaries of civil servants and public officers. Debt service will take up 3.32 trillion naira,  as obligations arise  from increased borrowing continue to mount.

The lawmakers also extended the 2020 budget cycle to March next to enable the completion of ongoing projects.

Nigeria has faced dire financial straits since the coronavirus pandemic caused a plunge in the shipment of crude oil, the country’s main export.