CUPP Questions Nigeria’s Devt Priorities With 2025 Budget

Kehinde Fajobi

The Conference of United Political Parties (CUPP) has raised concerns over Nigeria’s ability to achieve meaningful development with the 2025 budget presented by President Bola Tinubu to the National Assembly.

Speaking in Abuja on Monday, the CUPP National Secretary, Chief Peter Ameh, criticised the ₦49 trillion budget for prioritising debt servicing and recurrent spending over critical areas like education, health, and infrastructure.

“A staggering ₦16 trillion, roughly 32% of the total budget, is allocated towards debt servicing,” Ameh noted.

“This leaves ₦33 trillion for other expenditures, with ₦14.2 trillion dedicated to recurrent expenses and ₦13 trillion for capital projects.”

Ameh said the emphasis on debt servicing raises questions about the government’s priorities, explaining that it directs a significant portion of revenue towards paying off debts instead of addressing critical development sectors.

He also highlighted concerns about the government’s ability to implement its budget effectively, citing the Minister of Finance’s recent revelation that capital budget implementation in 2024 stood at only 25%.

“The recurrent expenses, which account for approximately 29% of the total budget, largely cover administrative costs like salaries.

“While necessary, they do not significantly contribute to economic growth or development,” Ameh said.

Although ₦13 trillion has been allocated for capital projects, Ameh argued it might be insufficient to address Nigeria’s infrastructure deficits.

“The country’s infrastructure needs are significant, and this allocation may not make a meaningful impact,” he added.

Ameh further compared the sectoral allocations in the budget, highlighting ₦4.91 trillion for defence and security, ₦4.06 trillion for infrastructure, ₦2.48 trillion for health, and ₦3.5 trillion for education.

“While recognising their importance, he questioned whether these allocations were adequate to address the scale of Nigeria’s challenges.

“The budget also raises concerns about debt sustainability. With so much dedicated to debt servicing, it is unclear how the government plans to reduce its debt burden,” Ameh said, adding that the rising debt-to-GDP ratio poses a serious challenge to Nigeria’s economic stability.

In his final analysis, Ameh called for a re-evaluation of budget priorities, urging the government to focus on capital investments that drive economic growth and development.

“The success of the 2025 budget will depend on the government’s ability to implement its priorities effectively and ensure resources are allocated to maximise impact,” he said.