The Nigerian President, Alh. Umar Musa Yar’Adua on Thursday November 8 presented the 2008 Appropriation Bill to a Joint Session of the National Assembly, which placed emphasis on the development and security of the Niger Delta region, as well as improved funding of national security, energy and education sectors.

The President presented a budget proposal of over N2.5 trillion in the Appropriation Bill, his first in office, to a full session of the Senate and House of Representatives which had Senate President David Mark and House Speaker Hon Dimeji Bankole presiding.


Reading his budget speech, President Yar’Adua said the collective challenge before the nation was to translate the micro-economic gains recorded in the last five years into tangible improvements in the living standards of Nigerians.

The 2008 budget proposals represent an increase of 5.5% over that of the previous year.

The President said the budget aims at improving security in the Niger Delta region, power, national security and transport.

Key Sectoral Allocation:

• NDDC N69.9b (as against N24b in 2007)

• National Security N444b, representing 20% of total budget (an increase of 6.5% over 2007)

• Education N210b (13% of 2008 budget)

• Energy N139b

• Agriculture and Water Resources N121b (7% of budget)

• Transport N94b

Assumptions and targets of 2008 Budget

• Oil price at $53.83 per barrel

• Crude oil production of 2.45mbd

• Joint Venture cash calls of $4.97b

• Gross Domestic Product growth rate of 11%

• Inflation rate of 8.5%

• Exchange rate of N117 to $1

The President also used the occasion to inform the National Assembly that he has signed the Fiscal Responsibility Bill and spoke glowingly of the cordial relationship existing between the Executive and Legislative arms of Government.