As part of efforts to finance the 2024 Budget, the federal government is looking to generate N298.4 billion in revenue from selling off certain government assets in 2024.
This is contained in a breakdown document of the 2024 appropriation bill currently before the National Assembly.
According to a list compiled by the Bureau of Public Enterprises, some of the national assets slated for outright sales or concession include the Tafawa Balewa Square in Lagos as well as all the National Integrated Power Projects in Olorunsogo, Calabar II, Benin (located at Ihorbor), Omotosho II and Geregu II plants among many others.
The government is also planning to sell or concession all the hydropower plants across the country, including Oyan, Lower Usuma, Katsina-Ala and Giri plants.
Some of them, it was gathered, will be offered to investors for equity while others will be totally sold to reduce waste.
The item listed as “Financing Item” was in the sectoral allocation details released by the Chairman, Senate Committee on Appropriations, Solomon Adeola.
The move is believed to be an attempt to finance public debts as well as reduce the fiscal burden on the part of the federal government.
The document also indicated that the government expects to generate N2.8 trillion from government-owned enterprises as a net surplus in the 2024 fiscal year.
The 2024 budget proposal of N27.5 trillion was presented to the National Assembly by President Bola Tinubu last Wednesday.
The budget christened “Budget of Renewed Hope” contains national revenue estimated at N18.32 trillion with a deficit of N9.18 trillion.
Moreover, the government projects a revenue growth of 3.76% in the 2024 fiscal year.
While presenting the budget recently, the President noted that the purpose of the bill is to ensure macroeconomic stability, increase revenue, reduce deficit as well and increase capital expenditure and allocation to reflect the key priority areas of his administration.
Tinubu also emphasized that his administration would promote a public-private partnership model to drive economic stability. He added that his administration would make provisions to leverage private capital for big-ticket infrastructure projects in energy, transportation and other sectors. A move he claimed is critical to diversify the economy as well as drive infrastructural projects in the country.
Hear him; “In preparing the 2024 Budget, our primary objective has been to sustain our robust foundation for sustainable economic development. A critical focus of this budget and the medium-term expenditure framework is Nigeria’s commitment to a greener future.
“Emphasizing public-private partnerships, we have strategically made provisions to leverage private capital for big-ticket infrastructure projects in energy, transportation and other sectors.
“This marks a critical step towards diversifying our energy mix, enhancing efficiency, and fostering the development of renewable energy sources. By allocating resources to support innovative and environmentally conscious initiatives, we aim to position Nigeria as a regional leader in the global movement towards clean and sustainable energy.”
In addition, Minister of Finance and Co-ordinating Minister of the Economy, Wale Edun, speaking on the budget, said the privatization effort will drive macroeconomic growth as well as allow investors to participate optimally in the economy.
He said, “There is privatization in the budget. That is the direction of travel to create a stable macro-economic environment in which investors can come in and the government is yielding grounds to them and allowing them to come in and invest and provide goods and services to Nigerians.”
