Speaker Abbas has praised President Tinubu’s bold steps to reposition Nigeria saying that it has in no doubt disrupted the status quo in the country
The Speaker of the House of Representatives, Rep. Tajudeen Abbas, has praised President Bola Tinubu’s administration saying that the bold steps taken by the president to reposition the Nigerian economy have no doubt disrupted the status quo in the country, sparking strong resistance from vested interests.
Speaking during the presentation of the 2025 budget estimate to a joint session of the National Assembly, the Speaker said the president’s courageous measures underscore his resolve to prioritise the welfare of Nigerians.
He reiterated that the National Assembly stands ready to support these reforms through legislative backing and to facilitate public engagement for greater understanding.
Below is the full text of Speaker Abbas’s Speech:
On behalf of the House of Representatives and the entire National Assembly, I extend our deepest gratitude to His Excellency, President Bola Ahmed Tinubu, GCFR, for presenting the 2025 Appropriation Bill to this Joint Session. Today’s presentation fulfils a fundamental constitutional mandate and reflects your vision and steadfast commitment to addressing the needs and aspirations of all Nigerians.
Over the past eighteen months, your administration has taken bold and decisive steps to reform our economy.
The removal of fuel subsidies, unification of foreign exchange rates, and introduction of innovative economic policies have laid a solid foundation for sustainable growth and development. While these reforms have demanded short-term sacrifices, they are acts of courage and patriotism. History teaches us that transformative progress often begins with difficult decisions. Examples from China’s market reforms, India’s liberalisation, and South Korea’s industrialisation affirm the enduring benefits of such bold action. These lessons inspire confidence that Nigeria’s ongoing reforms will foster economic growth, reduce poverty, and ensure long-term prosperity.
Mr. President, your administration’s reforms have disrupted the status quo, sparking resistance from vested interests. Yet, these courageous measures underscore your resolve to prioritise the welfare of Nigerians. The National Assembly stands ready to support these reforms through legislative backing and to facilitate public engagement for greater understanding and collaboration between all arms of government remains essential to achieving our shared objectives.
Your Excellency, 2024 has been a year of mixed economic fortunes. The National Bureau of Statistics reported GDP growth of 3.46% in the third quarter, up from 3.19% in the second, largely driven by the services sector. Despite challenges posed by climate change and insecurity, agriculture remained a critical contributor, accounting for 17.22% of nominal GDP in the first quarter and 22.61% in the second quarter. However, inflation, rising to 33.88% in October, alongside escalating food and energy costs, continues to strain households across the country. Nonetheless, the International Monetary Fund’s projection of 3.2% growth for 2025 underscores a positive trajectory if reforms are sustained and structural issues addressed.
Mr. President, your international engagements have further reinforced Nigeria’s global standing.
The agreements from your September 2024 visit to China are set to transform rail transport, enhance digital literacy, boost agriculture, and strengthen national security while elevating Nigeria-China relations to a comprehensive strategic partnership. Engagements in France similarly secured €300 million for critical sectors, while Brazil’s $4.2 billion grant to strengthen agriculture underscores your focus on sustainable growth.
Notably, one of your administration’s remarkable achievements is advancing local government autonomy, ensuring that resources reach grassroots communities and empowering them to address their specific needs. This commitment to transparency and accountability will have a lasting impact, particularly on our rural communities.
Your Excellency, the proposed 2025 budget of N49.7 trillion—a 35% increase over 2024—is really ambitious and commendable.
The projections of 4.6% GDP growth, a crude oil price of $75 per barrel, an exchange rate of N1,400 to the dollar, and oil production of 2.06 million barrels per day are bold but achievable.
However, Nigeria’s fiscal realities warrant critical reflection. Despite being Africa’s most populous nation with over 220 million people, our 2024 national budget of $36.7 billion remains modest compared to countries like South Africa, with a budget of $160 billion for its 60 million citizens; Egypt, with $110 billion for 110 million people; Algeria, with $60 billion for 45 million people; and Morocco, allocating $50 billion for its 37 million residents.
Indeed, Nigeria’s low tax revenue also remains a major constraint. Our tax-to-GDP ratio, currently at approximately 10.9% for 2024, is among the lowest in Africa, significantly below the continental average of 15.6%. In comparison, South Africa’s tax-to-GDP ratio stands at 25.4%, while Rwanda and Ghana, with much smaller populations, report ratios of 15.1% and 14.1%, respectively.
Even our VAT collection efficiency – at approximately 20% – is notably below the near 70% efficiency achieved by South Africa, Equatorial Guinea, and Zambia.
Addressing these challenges requires urgent and comprehensive tax reforms to broaden our tax base, improve compliance, streamline administration and reduce reliance on borrowing. The National Assembly will continue to work with your administration to ensure that such reforms are equitable, effective, and considerate of the needs of vulnerable populations. To this end, we have engaged stakeholders to address concerns raised on the tax reform bills, fostering trust and cooperation. I have personally led numerous high-level meetings and consultations with state governors and other key stakeholders on this issue, achieving positive outcomes.
Your Excellency, distinguished colleagues, ladies and gentlemen, as we approach 2025, we must embrace the realities before us with determination.
Stabilising prices, boosting agricultural productivity, expanding infrastructure, and investing in education, healthcare, and security remain paramount priorities. To strengthen national unity and build trust, it is essential for the government to communicate its achievements effectively to the Nigerian people.
Mr. President, let me assure you that the National Assembly is fully committed to supporting the successful implementation of the 2025 budget. This is not merely your budget; it is a national project requiring collaboration across all arms of government. We will work to ensure its timely passage, provide legislative support for critical reforms, and conduct robust oversight to guarantee transparency and efficiency in its execution.
Mr. President, fellow colleagues, let us take a moment to recognise and honour the profound sacrifices made by each and every Nigerian over the past year. The removal of fuel subsidies, rising inflation, and adjustments to economic policies have created challenges.
Yet these sacrifices are necessary for building a stronger, self-reliant, and prosperous nation. I call on all Nigerians to remain resilient and united in our collective pursuit of a brighter and better Nigeria.
In conclusion, Mr. President, thank you for your visionary leadership and unwavering commitment to Nigeria’s progress. The 2025 budget represents a crucial step towards economic recovery and sustainable development. I am confident your reforms will soon deliver tangible benefits for all Nigerians.
Thank you, and may God bless the Federal Republic of Nigeria.
