The National Assembly on Tuesday amended the recently passed N54.9 trillion 2025 Appropriation Bill, making significant adjustments that shifted funds from capital projects to recurrent expenditures.
The move, following a motion raised in both the Senate and House of Representatives during plenary in Abuja, saw N500 billion reallocated from capital to recurrent spending.
Despite the revisions, the total budget remains N54.99 trillion, with statutory transfers at N3.64 trillion and debt servicing at N14.31 trillion. However, recurrent (non-debt) expenditure increased from N13.06 trillion to N13.58 trillion, while capital expenditure dropped from N23.96 trillion to N23.43 trillion. Citing Orders 1(B) and 52(6) of the Senate Standing Orders (2023, as amended), lawmakers resolved to revisit their earlier decisions, revising and recommitting the bill to the Committee of Supply for final passage.
Several key sectors faced budget cuts as a result of the adjustments. The Ministry of Defence’s allocation dropped from N2.51 trillion to N2.49 trillion, while the Ministry of Police Affairs saw a slight reduction from N1.225 trillion to N1.224 trillion. In contrast, pensions, gratuities, and retirement benefits received a significant boost from N950 billion to N1.44 trillion, with military pensions increasing from N252.6 billion to N383.9 billion. The National Pension Commission (PENCOM) also saw its budget rise from N529.4 billion to N804.7 billion.
Other sectors were not as fortunate. The Presidency’s budget was slashed from N144.4 billion to N142.7 billion, while the Federal Ministry of Agriculture and Food Security faced a reduction from N1.95 trillion to N1.83 trillion. The Federal Ministry of Works saw its allocation cut from N2.04 trillion to N2 trillion, and most notably, the Federal Ministry of Education’s budget dropped from N953.9 billion to N944.6 billion.
The revisions underscore a shift in funding priorities, reflecting a push for increased recurrent spending while scaling back capital investments in key sectors.
