Nigeria’s legislature approved a 4.98 trillion naira ($31.7 billion) budget for 2013, 7 percent more expenditure than this year.
The spending plan, based on an oil price of $79 a barrel, includes 2.3 billion naira for recurrent expenditure, such as salaries, and 1.6 trillion naira for capital projects, Senate President David Mark said today in parliament in the capital, Abuja. The budget will also be based on an exchange rate of 160 naira a dollar, he said. President Goodluck Jonathan made proposals in October to spend 4.92 trillion naira with a crude price of a $75 a barrel.
Africa’s top oil producer and most populous country depends on crude exports for more than 90 percent of foreign income and about 80 percent of government revenue, according to the Finance Ministry. Jonathan, 54, who was elected last year, has pledged to boost power generation, expand infrastructure and diversify the country’s economy away from oil dependence.
The West African country will spend 591.7 billion naira to service debt in 2013, while 387.9 will be spent as statutory transfers.