The Senate has announced corrections to the 2025 Appropriations Bill, following its passage by both the Senate and the House of Representatives last Thursday. The discrepancies were identified during a final review by the Joint Committee on Appropriations. These adjustments primarily impact allocations for recurrent expenditure, pensions, and capital projects.
Adjustments to Recurrent Expenditure and Pensions
Significant changes were made to several budgetary allocations:
- Ministry of Defence: Reduced from ₦2.51 trillion to ₦2.49 trillion.
- Ministry of Police Affairs: Reduced from ₦1.225 trillion to ₦1.224 trillion.
- Total Pensions, Gratuity, and Retirement Benefits: Increased from ₦950 billion to ₦1.44 trillion.
This substantial increase reflects adjustments to:
- Military Pensions and Gratuities: Increased from ₦252.6 billion to ₦383.9 billion.
- National Pension Commission (PENCOM): Increased from ₦529.4 billion to ₦804.7 billion.
Adjustments to Capital Expenditure
The review also resulted in adjustments to capital allocations for several key ministries:
- Presidency: Reduced from ₦144.4 billion to ₦142.7 billion.
- Federal Ministry of Agriculture and Food Security: Reduced from ₦1.95 trillion to ₦1.83 trillion.
Federal Ministry of Works: Reduced from ₦2.04 trillion to ₦2 trillion. - Federal Ministry of Education: Reduced from ₦953.9 billion to ₦944.6 billion.
Overall Budget Impact
Despite these corrections, the total budget size remains at ₦54.99 trillion. Allocations for Statutory Transfers (₦3.64 trillion) and Debt Service (₦14.31 trillion) remain unchanged. However, the adjustments have led to an increase in Recurrent (Non-Debt) Expenditure to ₦13.58 trillion, while Capital Expenditure has been reduced to ₦23.43 trillion.
Senate Action
Citing Orders 1(B) and 52(6) of the Senate Standing Orders (2023, as amended), the Senate has rescinded its previous approval of the affected line items and the bill’s long title. The corrected bill has been recommitted to the Committee of Supply for reconsideration and final passage.
Conclusion
The corrections made to the 2025 Appropriations Bill highlight the importance of thorough review and oversight in the budgetary process. While the overall budget size remains consistent, the reallocation of funds across various sectors reflects a necessary adjustment to ensure accuracy and responsible fiscal management. The Senate’s action demonstrates its commitment to transparency and accountability in handling public funds.
