President Muhammadu Buhari has said that the increase in the 2022 budget deficit will be financed through borrowing from the domestic market.
President Buhari made this known in a letter written to the House of Representatives and was read by the speaker of the house, Femi Gbajabiamila, on thursday.
According to the letter, the president requested for the review of the 2022 Medium-Term Expenditure Framework (MTEF) upon which the budget was hinged.
The letter read in part, “As you are aware Mr. Speaker, the new development both in the global economy as well as the domestic economy has necessitated the revision of the 2022 fiscal framework on which the 2022 budget was based.
“The total budget deficit is projected to increase from N965.42 billion to N7.35 trillion representing 3.99 percent of the GDP.
“The increment of deficit will be financed by new borrowings from the domestic market.
“Given the urgency of the request for revision of the 2022 fiscal framework and 2022 budget amendment, I seek the corporation of the National Assembly for expeditious action on this request,” he said.
The letter was thereafter referred to the House Committee on Finance for further legislative action.
