The Minister of Budget and Economic Planning, Senator Abubakar Bagudu, has expressed confidence that the Federal Government will achieve its 2025 revenue target of N36.35 trillion. Speaking at the National Assembly Joint Committees on Finance hearing, Bagudu attributed this optimism to the anticipated gains of President Bola Tinubu’s administration’s economic reforms.

According to Bagudu, the removal of fuel and foreign exchange subsidies has boosted government revenue, with noticeable effects from October last year.

The administration expects an upward revenue trajectory with the savings from these subsidies. Additionally, President Tinubu has directed revenue-generating Ministries, Departments, and Agencies (MDAs) and Government-Owned Enterprises to increase their operations and bring in more revenue.

Bagudu also pointed out that the government’s determination to ramp up oil production at a reduced cost will significantly impact the nation’s treasury. The 2025 Appropriation Bill, presented to the National Assembly in December, proposes an expenditure of N49.74 trillion, assuming 2.06 billion barrels per day production at $75, N1,500/$ exchange rate, 15.75% inflation, and 4.6% GDP rate.

Despite a deficit of N13.08 trillion, the minister assured lawmakers that the government is confident in generating revenue to fund the budget. This confidence stems from lessons learned during the implementation of the 2024 budget. Bagudu emphasized that the administration would leverage its experience to achieve its 2025 revenue target.