Senator Abubakar Bagudu, Nigeria’s Minister of Budget and Economic Planning, delivered a robust defense of the Tinubu administration’s economic performance and future plans before the National Assembly Joint Committees on National Planning. His central message was one of optimism, emphasizing the positive direction of the economy under President Tinubu’s leadership and the administration’s commitment to maintaining this course. Bagudu highlighted various indicators of economic progress, including consistent GDP growth exceeding three percent for three consecutive quarters, a significant achievement compared to the sub-one percent growth experienced by many industrialized nations. This growth, he argued, was a direct result of the administration’s reform agenda.
The minister underscored the effectiveness of the Renewed Hope Agenda, a strategy aimed at addressing decades of underinvestment. He cited the economy’s recovery, deficit reduction, and adherence to legal limits regarding ways and means financing as clear signs of the agenda’s success. Specifically, Bagudu pointed to a reduction in the reliance on ways and means financing from over 6.1 percent in 2023 to less than four percent in 2024, a move that has garnered positive recognition from international business leaders and rating agencies. He further emphasized the enhanced liquidity experienced by sub-national governments, with increased FAAC allocations attributed to the elimination of fuel and forex subsidies and other key reforms. This positive trend, he assured, would continue, ensuring sustained financial support for states and local governments.
Bagudu addressed the financing of the 2025 financial plans, assuring legislators that the administration was committed to innovative financing mechanisms and line budget allocations to secure the necessary resources. He revealed that President Tinubu had specifically tasked the petroleum, solid mineral, and creative industry sectors with maximizing their potential for revenue generation. These sectors, under the president’s directive, are expected to play a pivotal role in driving economic growth and contributing significantly to the nation’s financial resources. The minister stressed the importance of collaboration with the National Assembly in implementing these innovative financing strategies.
The Minister positioned his ministry as the primary champion of the Renewed Hope Agenda and Agenda 2050, emphasizing its role in promoting these strategies and driving their implementation. He highlighted the significance of expanding economic activities as a core objective, with the ultimate goal of generating substantial revenue to fund critical infrastructure projects. This focus on infrastructure development underscores the administration’s commitment to long-term economic growth and improvement in the quality of life for Nigerians. Bagudu’s presentation painted a picture of a government actively pursuing economic revitalization and focused on leveraging key sectors to drive sustainable development.
Bagudu’s address to the National Assembly was essentially a progress report and a roadmap for future economic endeavors. He outlined the administration’s achievements, emphasizing the positive trajectory of the economy, and presented a clear strategy for continued growth and development. The emphasis on innovative financing and sectoral development signaled a commitment to diversifying the economy and creating sustainable revenue streams. The message was one of confidence in the chosen path and a determination to stay the course, working collaboratively with the legislature to achieve the ambitious goals set forth in the Renewed Hope Agenda and Agenda 2050.
The minister’s presentation served as a reassurance to the National Assembly and the wider public of the administration’s commitment to sound economic management. The focus on data-driven results, such as GDP growth and deficit reduction, provided tangible evidence of the effectiveness of the reforms implemented thus far. By outlining specific strategies for future financing and sectoral development, Bagudu aimed to build confidence in the government’s ability to deliver on its promises and achieve sustainable economic growth for Nigeria. The collaborative approach emphasized in his address further solidified the government’s commitment to working with all stakeholders to ensure the success of its economic agenda.
