The President of the Senate, Senator Godswill Akpabio, has announced that the 2024 national budget will be extended by six months, setting the new deadline for June 25, 2025.
This declaration came during his opening remarks at the presentation of the 2025 Appropriation Bill by President Bola Ahmed Tinubu to the joint session of the National Assembly on Wednesday.
Senator Akpabio explained that the extension was necessary due to the underperformance of the 2024 budget, which had seen a shortfall in the execution of key expenditure components. According to the Senate President, the budget performance in 2024 stood at 50% for capital expenditure and 48% for recurrent expenditure, revealing a substantial underachievement of the targets set in the Appropriation Act.
Akpabio’s statement highlighted that despite the federal government’s efforts to meet budgetary expectations, delays in revenue generation, and unforeseen economic challenges had hampered the full implementation of the 2024 budget. “The performance gaps in capital and recurrent expenditures have necessitated this extension. We must ensure that resources allocated for national development are effectively utilized and that all outstanding obligations are met,” Akpabio remarked.
This budget extension comes at a time when the country is grappling with a variety of macroeconomic challenges, including inflationary pressures, rising debt servicing costs, and fluctuating oil revenues. It is expected that the additional six-month period will allow for a more realistic timeline to execute the budget’s priorities, including infrastructure development, social welfare programs, and critical government projects.
The extension of the 2024 budget is seen as a strategic move to align the fiscal calendar with the realities of current economic conditions and the government’s reform agenda. Lawmakers and economic experts have weighed in, noting that while the delay may present short-term fiscal inconveniences, it offers an opportunity to recalibrate government spending and improve overall budget performance.
Senator Akpabio assured the National Assembly that the government would work closely with the relevant agencies to ensure that the extended budget period would be used effectively to meet the nation’s development goals. “We remain committed to ensuring that the funds allocated for national growth are utilized efficiently, and this extension gives us the necessary time to achieve that goal,” he stated.
The presentation of the 2025 Appropriation Bill by President Bola Tinubu further underscored the government’s forward-looking fiscal policies, even as it acknowledged the challenges faced in the execution of the previous year’s budget. In his address, President Tinubu called for continued collaboration between the executive and legislative branches to ensure that the national budget is implemented successfully in the coming year.
As part of the extended 2024 budget timeline, Akpabio emphasized that there would be continuous monitoring and evaluation to track progress, particularly in capital projects, which have been a priority for the administration. “Our focus is to close the gap in capital expenditure, accelerate infrastructure development, and improve the delivery of essential services to Nigerians,” he added.
The extension of the 2024 budget is set to have significant implications for the fiscal planning of various government ministries, departments, and agencies (MDAs). The National Assembly has been urged to collaborate closely with the executive to ensure that the six-month extension does not lead to further delays in project execution or disruptions in the delivery of critical services.
While the budget extension provides a temporary solution to the current fiscal challenges, it also reflects the broader complexities facing Nigeria’s public finances. Policymakers, economists, and stakeholders will be closely monitoring the performance of both the 2024 and 2025 budgets as the government strives to navigate these turbulent economic waters.
