Oil Price Crash: Buhari Asks For Impact Assessment Report On 2020 Budget
The President, Muhammadu Buhari has directed his ministers to give him an impact assessment report on the effect of the global oil crash on the 2020 budget.
The directive came after Buhari set up a committee on Monday to assess how the crash of crude oil price to $30 per barrel will affect the budget.
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Recall that oil price crashed after Saudi Arabia launched a price war in reaction to Russia’s decision not to cut output, causing Brent Crude Oil, against which Nigeria’s 2020 budget is benchmarked, to fall from $45 per barrel to $31.52.
The committee is chaired by the Minister of Finance, Budget and National Planning, Zainab Ahmed.
Other members are the Minister of State, Petroleum Resources, Timipre Sylva; the Governor of Central Bank of Nigeria, Godwin Emefiele; the Minister of State, Budget, Clement Agba, and the Group Managing Director of the Nigerian National Petroleum Corporation, Mele Kyari.
However, the President ordered the committee to submit the impact report on Tuesday which will determine if the federal government would reduce the budget benchmark of $57 per barrel or reduce the size of the N10.59trillion budget which already came with a deficit of over N2tn.
