Atiku SHOCKS Everyone, EXPOSES 5 Major Flaws In Tinubu’s 2025 Budget [Full Details Inside]
Former Vice President Atiku Abubakar has criticized President Bola Tinubu’ s proposed 2025 budget, calling it insufficient to tackle Nigeria’ s pressing economic challenges. In a statement released on Sunday, Atiku expressed concerns that the budget represents a continuation of flawed fiscal policies that have plagued the country under the All Progressives Congress (APC)- led administration since 2016.
The ₦47. 9 trillion budget, presented to the National Assembly by President Tinubu, includes a revenue forecast of ₦35 trillion, leaving a significant deficit of over ₦13 trillion. According to Atiku, this reliance on borrowing mirrors previous budgets and risks worsening Nigeria’ s economic woes. He outlined five major flaws in the proposed budget:
Weak Budgetary Foundations
Atiku argued that the underperformance of the 2024 budget raises red flags for the execution of the 2025 budget. By the third quarter of 2024, less than 35% of allocated capital expenditure for Ministries, Departments, and Agencies (MDAs) had been disbursed, despite government claims of achieving 85% budget execution. This pattern suggests the 2025 budget may fail to deliver the much- needed economic transformation.
Disproportionate Debt Servicing
Debt servicing accounts for ₦15. 8 trillion (33% of the budget), nearly matching the planned capital expenditure of ₦16 trillion (34%). Alarmingly, debt servicing exceeds spending on critical sectors like education (₦3. 52 trillion), health (₦2. 4 trillion), and infrastructure (₦4. 06 trillion). Atiku warned that this imbalance could crowd out vital investments, perpetuating a cycle of borrowing and fiscal instability.
Unsustainable Government Expenditure
Recurrent expenditure, amounting to over ₦14 trillion (30% of the budget), remains excessively high. Atiku criticized the government for failing to address inefficiencies, waste, and the costs of running an oversized bureaucracy. This, he said, leaves limited resources for developmental projects and worsens fiscal challenges.
Insufficient Capital Investment
Atiku pointed out that after accounting for debt servicing and recurrent expenditure, the remaining allocation for capital investment— critical for infrastructure and growth— falls short. On average, this amounts to just ₦80, 000 ($45) per Nigerian, a figure he described as inadequate to address the country’ s infrastructure deficit.
Regressive Taxation
The administration’ s plan to increase the VAT rate from 7. 5% to 10% drew heavy criticism from Atiku. He called it a retrogressive move that would worsen the cost- of- living crisis for Nigerians. By imposing higher taxes on a struggling population without addressing inefficiencies, Atiku warned that economic growth could be stifled.
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