FG to Spend N8.52tn on Salaries, N16.33tn on Debt Servicing in 2025
The Federal Government will allocate N8.52 trillion for salaries and pensions in 2025, a 59% increase from 2024’s N5.35 trillion. Salaries alone will cost N7.54 trillion, reflecting a sharp rise from N4.79 trillion last year.
Debt servicing will take N16.33 trillion, surpassing the combined salaries and pensions budget. Together, these costs will consume 54% of the N46.02 trillion national budget.
President Bola Tinubu presented the N49.70 trillion budget to the National Assembly, calling it the “Budget of Restoration.” The plan focuses on security, infrastructure, and human capital. The government will borrow to cover a N13.39 trillion deficit.
The State House will spend N15.09 billion on vehicles and maintenance. This includes N1.1 billion for new SUVs, N3.66 billion for operational cars, and N164 million for tyres. Security vehicles for the President’s team will cost N179.63 million.
The Federal Ministry of Health will receive N21.04 billion. The Medical and Dental Council will get N18.11 billion, while N1.01 billion will go to the Nursing and Midwifery Council. The Pharmacy Council will receive N1.92 billion.
The Ministry of Agriculture has allocated N54.38 billion to federal universities of agriculture. This represents 8.4% of its N636 billion budget. Key allocations include N13.77 billion for Abeokuta, N14.17 billion for Makurdi, and N3.98 billion for Kebbi.
Critics warn that the high cost of debt servicing could weaken the economy. They argue the government must manage resources better to sustain growth.
President Tinubu has promised to address these challenges while boosting national development. The success of the budget will depend on careful management and fiscal discipline.