On 8 October 2020, the President, Muhammadu Buhari, presented the Federal Budget proposals for the year 2021 at the Joint Session of the National Assembly. The recent developments in this draft Budget includes:

  • The draft 2021 Budget, themed “Budget of Economic Recovery and Resilience”, is designed against the backdrop of a global economic crisis and domestic impact of COVID -19.
  • Government is implementing the Special Public Works programme to provide employment opportunities. Also, introducing Nigeria Youth Investment Fund.
  • The Ministry of Agriculture and Rural Development will facilitate the integrated development of its sector by promoting crops’ value chains; as well as providing rural roads, water and sanitation, veterinary and pest controls, grazing, food and strategic reserves, and access to inputs and extension services.
  • The Federal Government intended to prepare and publish a Tax Expenditure Statement for 2019. This will set out the estimated cost of tax exemptions, incentives and rebates provided under Nigeria’s revenue and other laws.
  • Government also introduced Survival Fund Programme to assist and protect businesses from potential vulnerabilities. Furthermore, the Central Bank of Nigeria is reducing the interest rate on its intervention facilities from 9% to 5% with a 1-year moratorium till 31st March 2021 to provide concessional credit facilities.