Preliminary works for 2017 budget have begun in earnest going by the declaration by the Minister of Budget and National Planning, Udoma Udo Udoma, that the 2017-2019 Medium Term Expenditure Framework (MEFT) will be ready for submission to the National Assembly by October.
Udoma gave insight into the 2017 budget in Abuja on Monday during a Stakeholders’ Consultative Forum with Civil Society Groups and organised private sector on the 2017-2019 METF.
“We estimate oil production to be 2.2million barrel per day for 2017, 2.3million barrel per day in 2018 and 2.4million barrel per day for 2019. We have pegged exchange rate for 2017, 2018 and 2019 at N290 to a dollar. ”
While disclosing that recovered looted funds would be used in funding part of 2017 budget, Udoma pointed out that N2.1trillion had so far been expended out of the N6.06trillion budgeted for 2016. He, however, added that only N253billion out of the N1.8trillion earmarked for capital projects had been spent so far. Government , he said, would continue in its effort to diversify its revenue sources to non -oil sectors.
“A significant increase in non oil revenue receipts is projected due to a gradually recovering domestic economy and government ’s expected improvement in Federal Inland Revenue Service (FIRS ) tax collection efforts. Company Income Tax is projected to increase from N1.79trillion in 2016 to over N1.86trillion in 2017 and beyond while Value Added Tax (VAT) collections is to increase by about 42.4 percent in 2017.