The Coalition of United Political Parties (CUPP) has urged the administration of President Bola Tinubu to ensure that the 2025 budget aligns with the country’s development goals. In a statement issued by its secretary, Peter Ameh, the coalition emphasized the importance of allocating resources in a manner that maximizes impact.
CUPP highlighted that the success of the 2025 budget will largely depend on the government’s ability to implement its priorities effectively and efficiently. The proposed budget, totaling 49 trillion naira, has raised concerns regarding Nigeria’s capacity to achieve meaningful development. A significant portion—16 trillion naira, or approximately 32% of the total budget—is earmarked for debt servicing. This allocation leaves 33 trillion naira for other expenditures, with 14.2 trillion naira designated for recurrent expenses and 13 trillion naira for capital projects.
The coalition expressed that this allocation raises critical questions about the government’s priorities and its capability to stimulate economic growth. The substantial amount allocated to debt servicing indicates that a considerable portion of Nigeria’s revenue will be directed toward repaying debts rather than investing in essential sectors such as education, healthcare, and infrastructure. Furthermore, CUPP pointed out that the allocation of funds is particularly alarming in light of the Minister of Finance’s disclosure that the previous budget performed poorly, with capital budget implementation at only 25 percent for the 2024 fiscal year.
According to CUPP, this underperformance raises doubts about the government’s ability to effectively implement its budget and foster economic growth. The coalition noted that recurrent expenses, which constitute approximately 29 percent of the total budget, may not have a direct impact on the country’s development. These expenses are primarily associated with the day-to-day operations of government agencies, including salaries and administrative costs. While necessary, they do not significantly contribute to the nation’s economic growth or development.
Additionally, CUPP emphasized that capital projects, which account for around 26 percent of the total budget, have the potential to drive economic growth and development. However, the allocation of 13 trillion naira may prove insufficient to address Nigeria’s infrastructure deficits and other development challenges. The group asserted that the country’s infrastructure needs are substantial, and the current allocation for capital projects may not be adequate to create a meaningful impact.
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