Tinubu: 2025 Budget Aims to Reduce Inflation to 15% and Lower Dollar to N1,500

The 2025 budget, according to President Bola Tinubu, predicts that inflation will drop from the current 34.6% to 15% the following year.

This was said when he presented the N47.9 trillion 2025 budget plan to a combined National Assembly session on Tuesday.

Additionally, according to the President, the currency rate will rise from about N1,700 to N1,500 per dollar.

“This is an ambitious but necessary budget to secure our future,” Tinubu said.

According to the budget, inflation will drop from its present rate of 34.6% to 15% the next year. Additionally, the exchange rate is expected to improve from about 1,700 naira to 1,500 naira per US dollar, and the basic crude oil production projection is 2.06 million barrels per day, Tinubu stated.

According to him, the budget predictions are predicated on observations like a decrease in the importation of petroleum products, a rise in the export of completed petroleum products, a bumper harvest brought on by improved security, and a decrease in the need to import food, among other things.

Among the budget’s highlights, Tinubu mentioned N4.91 trillion for defense and security, N4.06 trillion for infrastructure, N2.4 trillion for health, and N3.5 trillion for education.

Nigerians are suffering economically as a result of the ongoing rise in inflation and the unstable currency rate, which has recently seen dollar exchange rates as high as N1,700.

Nigeria’s headline inflation rate increased from 33.88% in October 2024 to 34.60% in November 2024, according to data released by the National Bureau of Statistics (NBS) on Monday.

According to NBS’s most recent Consumer Price Index (CPI) data, which tracks the rate of change in prices of goods and services, the November inflation rate increased by 0.72% points from the October 2024 inflation rate.

The headline inflation rate was 6.40% points higher than the rate of 28.20% in November 2023 on an annual basis. This indicates that, on a year-over-year basis, the headline inflation rate rose in November 2024 as compared to the same month in 2023, according to the Bureau.

The food inflation rate in November 2024 was noteworthy because it was 39.93% year over year, which was 7.08% points higher than the rate in November 2023 (32.84%).