Reps approve Medium-Term Expenditure Framework for 2024-2026

156

The House of Representatives passed the Medium Term Expenditure Framework (MTEF) and Fiscal Strategy Paper (FSP) for 2024-2026 on Tuesday.

The House authorised benchmark oil prices of USD$73.96, $73.76, and $69.90 per barrel for 2024, 2025, and 2026, respectively, as well as daily crude oil production of 1.78 mbps, 1.80 mbps, and 1.81 mbps.

The green chamber also approved the executive’s recommended exchange rates of N700, N665.61, and N669.79 to USD$1 for the period 2024-2026.

The lower chamber proposed the Gross Domestic Product (GDP) growth rates at 3.76%, 4.22%, and 4.78% during the years 2024, 2025, and 2026 with an inflation rate of 21.40% in 2024, 20.30% in 2025, and 18.60% in 2026.

The MTEF/FSP document’s ancillary parameters for 2024–2026 were maintained as follows:

a) FGN recommended spending n26 trillion, with n16.9 trillion in retained revenue.

(b) A N9 trillion budget deficit.

(c) N7.8 trillion in new borrowings.

(d) N1.3 trillion worth of statutory transfers.

(e) An estimated n8.2 trillion in debt service.

(f) N243.6 billion in the sinking fund.

(g) N1.27 trillion in pension, gratuity, and retiree benefits.

(h) Total recurrent (non-debt) of N10.2 trillion; personnel costs (mdas) of N4.49 trillion; capital expenditure (exclusive of transfers) of N5.9 trillion.

The House also approved the recommendation of its committees on finance, loans, and debt management that having discovered that the subsidiaries of the Nigerian Postal (NIPOST) Service so created are irregular and illegal, they would be wound up and deregistered immediately.

The House also said that the sum of N10 billion released by the Ministry of Finance for the proposed NIPOST restructuring and recapitalisation be investigated and the funds fully recovered if established to be injudiciously utilized.

The lawmakers also said that all tax waivers not directly linked to non-governmental/non-profit organisations should not be granted, while all tax waivers from 2015 to date should be investigated by the relevant committee of the House.