The Nigerian Senate on Wednesday started debate on the general principles of the 2020 Appropriation Bill, a day after it was presented to them by President Muhammadu Buhari.
President Buhari had on Tuesday presented an estimate of N10.33trillion as proposed aggregate expenditure for 2020 to a joint session of the National Assembly.
Leader of the Senate, Senator Yahaya Abdullahi, had moved a motion that the a Bill for an Act to authorize the issue from the consolidated revenue fund of the Federation the total sum of N10,330,416,607,347.00 of which N556,700,827,235.00 is for statutory transfers, N2,748,598,930,000.00 is for Debt Service, N4,880,309,549,778.00 is for Recurrent (Non-Debt) Expenditure, while the sum of N2,144,807,300,334.00 is for contribution to the Development Fund for Capital Expenditure for the year ending on the 31st December, 2020, be considered for second reading.
In his presentation on Tuesday, the president said it was a budget of Fiscal Consolidation to strengthen Nigeria’s macroeconomic environment; investing in critical infrastructure, human capital development and enabling institutions, especially in key job-creating sectors.
President Buhari said the 2020 budget was based on the new VAT rate, adding that the increased revenues will be used to fund education, health, and infrastructure.
The increase in the budget also reflects the new national minimum wage.