The Minister of National Planning and Budget, Udo Udoma stated yesterday after an emergency meeting of the Federal Executive Council (FEC) that the Federal Government has proposed a national budget of N6 trillion for 2016, 30 percent of which will be for capital expenditure. He also stated that it had approved and submitted the Medium Term Expenditure Framework, MTEF, to the National Assembly.
By reason of the current economic realities, FEC fixed $38 dollars per barrel of crude oil as benchmark for the MTEF. He also revealed that the government expected to sell a total of 2.2 million barrels of crude oil per day.
In his words; “At today’s Council, the Council approved the Medium Term Expenditure Framework, MTEF which sets out the policies of government over the next years. It sets out the fundamental economic underpinning of the budget.
“The highlights are as follows: we project and we are working with $38 crude oil price, we consider that to be very conservative but because of the uncertainty, we felt that we should start with a conservative crude oil price.”