The federal government has announced it may revise its ₦54.99 trillion national budget in response to potential economic shocks from the recent global tariff hikes imposed by the United States.
Minister of Finance and Coordinating Minister of the Economy, Wale Edun, revealed this on Monday during a corporate governance forum hosted by the Ministry of Finance Incorporated (MOFI) in Abuja. He warned that one of the key risks Nigeria faces is a possible drop in global oil prices, which could negatively affect the economy. To counter this, Edun said efforts are underway to boost crude oil production and increase non-oil revenue through the Federal Inland Revenue Service (FIRS) and Nigeria Customs Service.
He cited the U.S. government’s new tariffs—introduced under former President Donald Trump and affecting all global imports, including those from Nigeria—as a development being closely watched. Although Nigeria’s trade with the U.S. has recorded surpluses in recent years, with exports totaling between $5 billion and $6 billion annually from 2022 to 2024, Edun said the impact of the tariffs would remain minimal if Nigeria can sustain its oil and mineral export volumes.
Despite murmurs of disagreement from attendees, Edun insisted Nigeria is in a strong position to weather global trade uncertainties due to ongoing economic reforms and early strategic shifts. He emphasized that the Tinubu administration is committed to attracting investments not just through policy statements, but also by enhancing corporate governance in public enterprises.
He noted that Nigeria is moving toward a private-sector-driven economic model, with 90% of the GDP generated by private enterprise and only 10% by the government. As such, the focus is now on equity-based financing, asset optimization, and innovative non-debt funding strategies.
Edun also credited President Tinubu’s policies with stabilizing key macroeconomic indicators and laying a solid foundation for long-term economic growth.
“Where needed, we’ll adjust and prioritize the budget,” Edun concluded. “And we’re exploring innovative non-debt financing solutions to ensure sustainability.”