President Buhari seeks review of 2022 MTEF as budget deficit hits N7.35trn

President Muhamadu Buhari has written to the House of Representatives requesting the revision of the 2022 Medium-Term Expenditure Framework (MTEF) upon which this year’s budget was based.

According to a letter from the president which was read by the Speaker of the House, Femi Gbajabiamila, the revision became necessary as the 2022 budget deficit was projected to increase to N7.35 trillion, representing 3.99 percent of the Gross Domestic Product (GDP).

The president said the increase in the budget deficit would be financed by new borrowings from the domestic market.

“As you are aware Mr. Speaker, the new development both in the global economy as well as the domestic economy have necessitated the revision of the 2022 fiscal framework on which the 2022 budget was based. The total budget deficit is projected to increase by N965.42 billion to N7.35 trillion representing 3.99 percent of the GDP. The increment of deficit will be financed by new borrowings from the domestic market. Given the urgency of the request for revision of the 2022 fiscal framework and 2022 budget amendment, I seek the corporation of the National Assembly for expeditious action on this request.”

The Speaker after reading the letter, referred it to the House Committee on Finance for further legislative action.

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