The Federal Executive Council (FEC) on Wednesday, approved the 2022 Appropriation Bill for an aggregate expenditure of N16.39 trillion for presentation to the National Assembly by President Muhammadu Buhari on Thursday.
Dr Zainab Ahmed, the Minister of Finance, Budget and National Planning, made this known on Wednesday when she briefed State House correspondents on the result of the Council meeting, presided over by President Buhari, in Abuja.
She said the government will continue to borrow to fund infrastructure projects as it doesn’t get enough from its revenues.
She said, “If we just depend on the revenues that we get, even though our revenues have increased, the operational expenditure of the government, including salaries and other overheads, is barely covered or swallowed up by the revenue.
“So, we need to borrow to be able to build these projects that’ll ensure that we are able to develop on a sustainable basis.
“As at July 2021, the total borrowing is 23% of GDP. When you compare our borrowing to other countries, we are the lowest within the region, lowest compared to Egypt, South Africa, Brazil, Mexico, the very lowest, and Angola.
“We do have a problem with revenue. Our revenues have been increasing. We just reported to the Council that our revenues from non-oil have performed, as of July, at the rate of 111%, which means outperforming the prorated budget.“