Overview

The document is a presentation on the 2018 FGN (Federal Government of Nigeria) Budget, titled 'Budget of Consolidation'. It was presented by Senator Udoma Udo Udoma, Hon. Minister of Budget & National Planning, on Thursday, 21st June, 2018. The presentation outlines the background, approach, revenue targets, and key projects of the 2018 budget, building on previous budgets (2016 Budget of Change and 2017 Budget of Recovery & Growth) and the Economic Recovery and Growth Plan (ERGP) 2017-2020. The economy had been in recession since Q2 2016 due to low oil prices and fiscal inefficiencies, but emerged from recession by the end of Q2 2017 due to reforms and expansionary fiscal policy. The 2018 budget was presented to the National Assembly on 7th November 2017, passed on 16th May 2018, transmitted to the President on 25th May 2018, and assented on 20th June 2018. Key highlights from the 2017 budget performance review: GDP growth rate was 0.83% (target 1.5%), oil production averaged 1.86 million barrels per day (target 2.2 mbpd), oil price averaged $54.6/barrel (target $44.5), inflation was 15.91% at end of 2017 (target 15.74%), exchange rate was stable at N305/$, revenue was N2.71 trillion (target N5.08 trillion), and expenditure was N6.05 trillion (target N7.44 trillion), with capital expenditure of N1.24 trillion (target N2.17 trillion; however, actual capital spending up to June 2018 was N1.58 trillion). A N100 billion Sukuk Bond was raised in October 2017 for 25 priority roads. The global economic context: global GDP growth projected at 3.9% in 2018 (up from 3.8%), with emerging markets and developing economies leading at 4.9% and advanced economies at 2.5%. The presentation includes sections on revenue targets and projects but details are not fully provided. The document emphasizes consolidation on achievements, prioritization of capital spending on infrastructure (power, roads, rail, agriculture), Niger Delta stakeholder engagement for oil production stability, efforts to improve tax compliance and GOEs' revenue performance, and borrowings to fund capital expenditure.

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