The Nigerian government
is now to spend a whopping N2.951 trillion on debt service as both chambers of
the National Assembly pass the revised 2020 Appropriation Bill for second
reading.
Members of both
chambers however frowned at the increase in the budget for debt servicing from
N2.4 trillion as approved in the 2020 budget in December 2019, to the new
figure of N2.95 trillion.
The revised Appropriation
Bill saw the government reducing the 2020 budget as passed by the National
Assembly in December 2019 to about N10.51 from the original budget of N10.59.
The revised 2020
Appropriation Bill however made no provision for petroleum subsidy, while oil
production was reduced from 2.1mbpd to 1.93mbpd.
Moving the motion for
the budget to be read a second time, Leaders of both chambers, Senator Yahaya
Abdullahi and Rep. Ado Doguwa said N398.505 billion is for Statutory Transfers.
The budget of the
National Assembly was however reduced from N128 billion as passed in December
to N115 billion in the revised budget.
Senate Leader, Yahaya
Abdullahi, in his lead debate, recalled that the 2020 Budget was predicated on
oil production of 2.18 million barrels per day and a benchmark oil price of $57
dollar per barrel with an exchange rate of N305 to one U.S. dollar.
According to him, the
outbreak of the Coronavirus Disease (Covid-19), and its rapid spin into a
global pandemic has brought about corresponding economic consequences.
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