The Legislative Passage of The 2018 to 2020 Fiscal Strategy Paper


Tuesday, December 05, 2017/ 02:00PM /Proshare Research

The 2018 to 2020 medium term expenditure frame work was passed by the senate on Tuesday 5
th October 2017 to law.  There was relatively little material change to the medium term expenditure frame work, as most assumptions and benchmark were left in tad with the Economic recovery and growth plan. At the same time signifying that the 2018 budget will be the first leg of the fiscal strategy paper for the next 3 years.

In response to the cap on oil production by the oil producing export countries, restricting Nigeria to 1.8 million barrels per day; evidently making 2.3 million barrels per day unlikely.  The legislative arm adjusted the oil price benchmark from 45$ per barrel to 47 $ per barrel.  The adjustment in the price benchmark will largely cover the N530 billion shortfalls in oil revenue erupting from recent production cap.  Apart from rebalancing price and production of oil benchmarks to put oil revenue back instead; all other benchmark was largely kept in place.  

Table:  The 2018 Budget benchmark



Oil price

47 $/ per barrel

Oil production

1.8 million barrel per day

Exchange rate

N 305 to a Dollar


N1.6999 trillion



Source: Nigerian Senate

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