Reps panel increases 2020 budget by N260bn

The house of representatives committee on appropriations has recommended an increase in the 2020 budget by N260 billion.

The committee’s recommendations were contained in its report presented at Wednesday’s plenary session by Muktar Betara, its chairman, thereby increasing the size of the appropriation bill from its initial N10.33 trillion to N10.59 trillion.

On October 8, President Muhammadu Buhari presented a budget proposal of N10.33 trillion to a joint session of the national assembly.

The lawmakers commenced work on the proposal immediately but postponed the passage to December after the relevant committees’ inability to present their reports as scheduled.

In the appropriations bill submitted by the president, the federal government said it would target revenue totalling N8.155 trillion; N2.64 trillion from oil revenue, N1.8 trillion from non-oil tax revenue and N3.7 trillion from other revenues.

The estimates are based on the new value-added tax rate which is being increased from 5% to 7.5%.

At its plenary on Wednesday, the senate received the budget report from appropriations committee.

The senate adopted 2.18 million barrels as the daily production benchmark and approved $57/barrel as the benchmark price for the 2020 fiscal year.

The senate president said the bill will be passed before the Christmas holidays.