Tinubu sets N34.8trn revenue target for 2025

President Bola Tinubu has unveiled an ambitious revenue target of N34.8 trillion for 2025, alongside a projected economic growth rate of 4.6%.

The announcement was made on Wednesday during his presentation of the 2025 budget, totaling N47.9 trillion ($31 billion), at a joint session of the National Assembly in Abuja.

In his speech, President Tinubu emphasized his administration’s focus on stabilizing the economy through policies designed to curb inflation, enhance revenue generation, and tackle food insecurity.

He expressed optimism that the proposed budget would serve as a critical instrument for driving sustainable growth and improving the welfare of Nigerians.

The government aims to generate N34.8 trillion, with expectations that non-oil revenue streams will contribute significantly.

Tinubu reiterated the importance of diversifying the economy, emphasizing sectors like technology, agriculture, and solid minerals as key drivers.

The administration expects a 4.6% GDP growth rate in 2025, fueled by structural reforms and investments in critical sectors.

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Efforts to stabilize the naira and enhance the ease of doing business are anticipated to attract foreign investments, contributing to economic expansion.

Tinubu assured lawmakers that fiscal and monetary policies would align to address inflationary pressures, which have adversely affected households and businesses.

Initiatives to boost food production and streamline the supply chain are expected to ease food prices and ensure affordability.

The total budget of N47.9 trillion represents one of Nigeria’s largest fiscal commitments, with substantial allocations for infrastructure, education, health, and security.

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The deficit will be financed through a mix of domestic borrowing, external loans, and other innovative financing options.

Economic analysts have offered mixed reactions to the revenue target and growth projections:

Financial experts have expressed skepticism about the government’s ability to meet the N34.8 trillion revenue target, given historical underperformance in revenue collection.

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“This target is ambitious but achievable if the government can tackle leakages, improve tax compliance, and enhance the efficiency of revenue-generating agencies,” said Dr. Chike Nwosu, an economist at Lagos Business School.

While the 4.6% growth target is higher than the current trajectory, analysts noted that achieving it would require significant reforms. “Structural bottlenecks, such as power shortages, poor infrastructure, and insecurity, must be addressed for the economy to grow at this rate,” said financial consultant Ada Onyekachi.

Experts praised the focus on inflation control and food security but cautioned that the government must back its plans with measurable actions.

“Boosting local production is critical, but access to credit, fertilizers, and technology for farmers will determine the success of these efforts,” noted agricultural policy analyst Tunde Akintola.