Nigeria’s Budget Deficit Now N4.5trn

The Debt Management Office has put the deficit financing of the revised N10.509trn 2020 budget proposal at N4.563trn.

The subsisting 2020 Appropriation Act, passed last December, had a total expenditure of N10.594trn and a deficit of N2.175trn.

National Assembly committees begin consideration of revised 2020 budget Lawmakers divided over revised 2020 budget However, in the revised budget proposal currently before the National Assembly, the deficit was increased by N2.736trn to N4.563trn.

DMO Director-General, Patience Oniha, disclosed this on Monday during a meeting of the Senate Committee on Local and Foreign Debt on the external borrowing in the revised 2020 budget.

She said in the revised budget, the deficit would be part-financed through domestic borrowing of N2.188trn and external borrowing of N1.984trn.

She said: “The proposed New Domestic Borrowing of N2,188.83trn will be raised from the domestic market through the issuance of Federal Government of Nigeria Bonds, FGN Savings Bonds, Sukuk, Nigerian Treasury Bills and possibly, a Green Bond.

“As of May 29 2020, a total of N1.319.99trn had been raised. “There’s also an on-going Offer for Sukuk of N150bn.”