President Bola Tinubu has stated that the 2025 budget projects a decline in inflation from current 34.6% to 15% next year.
He said this during his presentation of the ₦47.9 trillion 2025 budget proposal to a joint session of the National Assembly on Wednesday.
Tinubu also claimed that the exchange rate will improve from approximately ₦1,700 per dollar to ₦1,500.
He said, “this is an ambitious but necessary budget to secure our future.
“The Budget projects inflation will decline from the current rate of 34.6 per cent to 15 per cent next year, while the exchange rate will improve from approximately 1,700 naira per US dollar to 1,500 naira, and a base crude oil production assumption of 2.06 million barrels per day.”
He said the budget projections are based upon observations such as reduction of petroleum products importation, increased export of finished petroleum products, bumper harvest driven by enhanced security, reducing reliance on food imports, among others.
Tinubu listed highlights of the budget to include defence and security – ₦4.91tn, infrastructure – ₦4.06tn, health – ₦2.4tn, education – ₦3.5tn, among others.
On Monday, the National Bureau of Statistics (NBS) said Nigeria’s headline inflation rate rose to 34.60% in November 2024 from 33.88% in October 2024.
The November inflation rate showed an increase of 0.72% points compared to the October 2024 inflation rate, according to NBS’s latest Consumer Price Index (CPI) report which measures the rate of change in prices of goods and services.
“On a year-on-year basis, the Headline inflation rate was 6.40% points higher than the rate recorded in November 2023 (28.20%). This shows that the Headline inflation rate (year-on-year basis) increased in November 2024 compared to the same month in the preceding year (i.e., November 2023),” the Bureau said.