It expressed concern that the country faces significant medium term fiscal challenges, especially with respect to revenue generation and rapid growth in personnel costs.
The Minister of Finance, Budget and National Planning, Mrs. Zainab Ahmed, who unveiled the 2020-2022 Medium Term Expenditure Framework (MTEF) and Fiscal Strategy Paper (MTEF/FSP) in Abuja, Tuesday, stated that the 2020 budget would be predicated on a lower oil production of 2.18 million barrels per day (mbpd) and lower benchmark oil price of $55 per barrel.
The 2019 Budget is predicated on 2.3mbpd oil production and $60 per barrel benchmark.
“Oil production volume is projected to average 2.18mbpd for 2020. Although this is lower than the projected oil production volume of 2.3mbps for 2019, we believe that this is a more realistic projection. For 2021 and 2022, the projections are 2.22mbpd and 2.36mbps respectively
“Actual daily crude oil production and exports have been well below budget projections since 2013 despite installed capacity of up to 2.5mbpd, for a number of reasons,” she said.
Details later. ..