Senate increases oil benchmark to $47 per barrel

The Nigerian Senate has increased the crude oil benchmark from $45 to $47 per barrel for the 2018 budget.

The decision of the Senate was sequel to the recommendations by its joint committee on finance, appropriation, national planning and economic affairs.

Speaking on behalf of the committee, Senator Yahaya Abdullahi said the recommendations were made after due consideration of the assumptions in relations to the current realities.

Non-oil projections were also reduced from N5.567 trillion to N5.279 trillion.

The joint committee recommended the adoption of N1.7 trillion for new borrowing for 2018.

It urged relevant committees of the national assembly to constantly and closely oversight the ministries, departments and agencies on the implementation of these programmes to ensure effective compliance.

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The national assembly was also urged to amend the relevant sections of the fiscal responsibility act and other laws.

The joint committee recommended the adoption of 3.5 per cent growth rate.

The joint committee also recommended that the national assembly inserts in the 2018 appropriation act, a clause which makes it mandatory for the executive to refer to the national assembly for any expenditure in excess of the benchmark (that is, price and production).

The N305 per dollar as proposed by the executive for 2018 budget was however maintained.

The lawmakers also maintained the proposed 2.3 million barrels oil production per day.