A leader of the Peoples Democratic Party (PDP), Dr. Adetokunbo Pearse, has criticized the N47.9 trillion 2025 budget proposal presented to the National Assembly by President Bola Ahmed Tinubu, warning that its passage would further accelerate the decline Nigeria's economy and would push the country closer to bankruptcy.
Pearse, a public affairs analyst and Reset Lagos PDP coordinator, expressed his objections to the budget, stating that it did not address crucial steps needed to improve the economy. He commented that the title of the budget – “Restoration Budget: Ensuring Peace, Rebuilding Prosperity” – was misleading and did not reflect the harsh economic realities facing Nigerians.
According to Pearse, the budget's priorities were deeply flawed, lacking revenue-generating provisions and focusing solely on spending. He described his optimistic growth projections as unrealistic and misleading.
One of the most controversial aspects of the budget, Pearse argued, was the allocation of a staggering N4.91 trillion to defense and security, while a mere N2.4 trillion was allocated to health. He criticized this disparity, stating that Nigerian hospitals would remain inadequate, while the wealthy elite, including the president and his associates, would continue to seek medical treatment abroad.
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“The allocation of only N4.06 trillion for infrastructure, and even less for agriculture, two critical drivers of the economy, shows that the economy will stagnate or even regress in 2025,” Pearse said.
Pearse also took issue with the budget allocation for education. He noted that UNESCO recommends that developing countries allocate at least 15% of their annual budget to education to foster growth and development. However, the proposed budget only allocates N3.2 trillion to education, which is only 7.9% of the total budget, almost half of the UNESCO recommendation.
“This budget undermines the future of Nigeria's youth and, by extension, the future growth of the country,” lamented Pearse. “Education is the antidote to poverty and this budget does not adequately invest in it.”
Additionally, Pearse criticized the budget for what he described as the president's tendency to make false claims. He noted the statement in the budget that Nigeria's export trade was growing with a trade surplus of N5.8 trillion and asked: “Since when does our import-dependent economy export more than it imports?”
He also dismissed projections that inflation would reduce from the current rate of 34.6% to 15% and that the naira would stabilize at 1,500 naira to the dollar, calling these statements “absurd”.
“If the president has the power to control inflation and the value of the naira, why is he waiting until the presentation of the budget?” —Pearse asked. “Economic policy is not about illusions and the economy does not respond to magic.”
While Pearse acknowledged that the country's economic crisis could not be resolved overnight, he suggested several practical measures for recovery. These included devolving powers to states to exploit mineral resources such as lithium, phosphate and gold, modernizing the agricultural sector for export, and tackling corruption in the oil industry to boost productivity.
He also urged the president to reduce public spending and live within the country's means. “The president must cut concurrent spending and lead by example,” Pearse said. “It is unacceptable that government officials live in luxury while the majority of Nigerians struggle to make ends meet.”
Pearse concluded by highlighting that the 2025 budget does not address necessary measures to improve the economy, leaving Nigeria's economic future in jeopardy.