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Public finance

Senate Approves Fresh Extension of 2024 Capital Budget, Pushes Deadline to December 31, 2025

Strategic Insights

— 1 min read

The Senate has approved a fresh extension of the capital component of the 2024 national budget, moving its implementation deadline from December 31, 2024, to December 31, 2025. This decision was made during a plenary session on Tuesday, following the swift passage of an amendment bill to the Appropriation Act. The amendment bill received overwhelming support from lawmakers, with the Chairman of the Senate Committee on Appropriation, Senator Solomon Adeola, defending the need for the extension. According to Adeola, the additional time is necessary to complete ongoing projects and address revenue constraints that have delayed their execution.

Key Takeaways:

  • The Senate has approved a second extension of the 2024 capital budget implementation, pushing the deadline to December 31, 2025.
  • The extension was requested by the Federal Government to enable the completion of several ongoing projects and address revenue constraints.
  • The Chairman of the Senate Committee on Appropriation, Senator Solomon Adeola, cited limited fiscal resources as a reason for the extension.
  • This marks the second time the National Assembly has extended the 2024 capital budget implementation, following a previous extension in December 2024 to June 30, 2025.
  • Lawmakers opted for a further six-month extension to ensure continuity in governance and value for money.
  • Critics argue that repeated extensions reflect weak execution capacity within Ministries, Departments, and Agencies (MDAs), while proponents see it as a pragmatic move.
  • The extension means Nigeria will continue to operate two national budgets concurrently, the extended 2024 budget and the 2025 budget.

Statistics:

  • The 2024 capital budget implementation deadline has been extended to December 31, 2025.
  • The National Assembly has now extended the 2024 capital budget implementation twice.
  • The contribution of revenue constraints to project delays has been cited by Senator Adeola (APC, Ogun West) as a reason for the extension.
  • The Federal Government had allocated funds for various capital projects, but faced limited fiscal resources, leading to delayed execution.

Sources:

  • Senate approves fresh extension of 2024 capital budget, pushes deadline to December 31, 2025 (Premium Times, online publication)
  • Senate passes bill to extend 2024 budget implementation deadline to 2025 (The Nigerian Vanguard, online publication)

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