President Buhari has signed the revised 2020 Nigeria budget into law. It comes down to $28 billion. If you assume a 70% performance, i.e. only 70% would be executed (Nigeria typically does 80% but I am modelling with 70% here as the virus would affect many things), the effective national budget for Nigeria, in 2020, is less than $20 billion.
Contrast that with South Africa which has a budget of $122 billion.
Interestingly, Nigeria has more than 3 times the population of South Africa. So, we are spending $20 billion for 200 million people when South Africa is spending $122 billion for 57 million people.
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Do you see the disparity?
President Muhammadu Buhari has signed the revised 2020 budget into law.
The signing on Friday of the N10.8 trillion budget took place at the State House’s council chambers.
The amended budget was approved by the National Assembly in June.
At the signing ceremony, Mr Buhari said the budget had to revised because of the effect of coronavirus on the nation’s economy.
He said the ministries, department and agencies will be given 15 per cent of their capital allocation by the end of July.
Source: South Africa budget
This has worsened since the MTBPS, however, the gross tax revenue for 2019/20 is still 5.5% up on last year. Budgeted expenditure for 2020/21 is R1. 95 trillion (2019/20 revised estimate: R1. 84 trillion)
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