FG misses 2025 revenue target by N30trn - Wale Edun

The Minister of Finance, Wale Edun, has said the federal government is likely to fall short of its 2025 revenue target by about 30 trillion naira. Edun made the disclosure in Abuja while appearing before the House of Representatives committees on finance and national planning during an interactive session on the 2026 to 2028 Medium Term Expenditure Framework and Fiscal Strategy Paper. He explained that the federal government had projected revenue of 40.8 trillion naira to fund the 2025 budget, but current performance indicates that actual revenue may end at about 10.7 trillion naira. The current trajectory indicates that federal revenues for the full year will likely end at around N10.7 trillion, compared to the N40.8 trillion projection, Edun said. The minister attributed the shortfall to weak performance in oil and gas revenues, particularly petroleum profit tax and company income tax, as well as underperformance across other revenue sources. Despite the gap, Edun said the government has continued to meet its key financial obligations through what he described as prudent treasury management. He said salaries, statutory transfers, and both domestic and foreign debt servicing have been paid through creative handling of available resources. Edun cautioned against rigid expenditure commitments based on uncertain revenue projections, especially those tied to oil earnings, stressing the need for flexibility in spending plans. We must be ambitious, but given the experience of the past two years, spending linked to these revenues must depend on the funds actually coming in, he said. Also speaking at the session, the Minister of Budget and National Planning, Atiku Bagudu, said the Medium Term Expenditure Framework and Fiscal Strategy Paper were developed through extensive consultations with government agencies and the private sector. Bagudu said the government is projecting oil production of 2.06 million barrels per day for the 2026 budget, but noted that a more cautious production assumption of 1.84 million barrels per day would be used for revenue estimates. The Chairman of the House Committee on Finance, James Faleke, urged lawmakers and economic managers to carry out critical analysis to avoid imprudent economic decisions.The post FG misses 2025 revenue target by N30trn - Wale Edun appeared first on Linda Ikeji Blog.