President Muhammadu Buhari on Tuesday presented N10.33 trillion 2020 budget to the joint sitting of the National Assembly.
The president described it as budget of fiscal consolidation and investing in critical infrastructure.
Here are six important things to note from the presentation.
The 2020 budget has been based on a new Value Added Tax(VAT) of 7.5 percent. The Federal Executive Council had recently approved the increment of the VAT from 5 per cent to 7.5 percent.
The President said the additional revenue to be generated from the higher rate would be deployed in the health and education sectors as well as infrastructural programmes.
N8.155 trillion is the revenue generation estimate in the 2020 budget.
According to Buhari, “These are broken down into:
“Oil revenue: N2.64trn
Non-oil revenue: N1.81trn
Ministries,Departments and Agencies(MDAs) are not allowed to include new projects in their 2020 budget estimate. Provision was made for the completion of ongoing projects while those that are not likely to be concluded before the end of the year are rolled over to 2020.
Salaries of all federal workers must be captured in the Integrated Personnel Payment Information System (IPPIS) before the end of October. All MDAs must seek approval before embarking on new recruitment. Any violation to attract severe penalty
N125 billion naira was budgeted for the National Assembly while the Judiciary will get N110 billion.
Debt servicing in the 2020 budget will gulp N2.45 trillion, out of which local debts would take N296 billion.
Overhead cost will be N426.6 billion.