The Federal Government has given the green light to a supplementary budget of N2.18 trillion for the fiscal year 2023.

This decision, announced on Monday, comes as a response to the increasing demand for additional funding in key areas such as defense, infrastructure, and social welfare initiatives, including wage awards and conditional cash transfers, as agreed upon with the Organized Labour.

The unveiling of the supplementary budget’s details took place at the State House, concluding this week’s Federal Executive Council meeting at the Aso Villa.

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Abubakar Bagudu, the Minister of Budget and Economic Planning, expressed that this budget allocation is essential to address urgent concerns, particularly in the realm of national defense and security.

The breakdown of the supplementary budget includes an allocation of N605 billion to support national defense and security efforts, aiming to sustain the progress made in these critical areas and expedite necessary initiatives.

These funds are considered imperative for the security agencies to ensure the nation’s safety before the year’s end.

N300 billion has been earmarked for the repair and maintenance of vital bridges, including the Eko and Third Mainland Bridges, as well as the construction, rehabilitation, and maintenance of numerous roads across the country.

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These provisions are particularly vital as they seek to address infrastructure challenges before the onset of the rainy season.

In the context of wage awards, a substantial amount of N210 billion has been allocated. Following negotiations with the Nigeria Labour Congress, the Federal Government has committed to disbursing N35,000 each to approximately 1.5 million Federal Government employees.

This payment will cover the months of September, October, November, and December 2023.

In addition, N400 billion has been designated for cash transfer payments. The Federal Government previously secured an $800 million loan from the World Bank to provide cash transfers of N25,000 to 15 million households.

This financial support is set to cover the months of October and November. President’s approval has been granted to fund an additional month of cash transfers through the allocation of N100 billion by the federal government.

The Federal Executive Council has also sanctioned N200 billion for the provision of seeds, agricultural inputs, supplies, and agricultural infrastructure, with the aim of supporting the expansion of agricultural production.

An allocation of N100 billion has been approved for the Federal Capital Territory to address pressing capital expenditure needs for infrastructure projects.

The Independent National Electoral Commission (INEC) is set to receive N18 billion for conducting the Bayelsa, Kogi, and Imo elections, while N5.5 billion has been allocated for the initiation of the student loans board, which is scheduled to commence loan disbursement in January 2024.

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This supplementary budget also includes N8 billion as a start-up grant for new ministries and N200 billion for capital supplementation to address urgent requests received by the President from various regions across the country.

The approval of this supplementary budget reflects the government’s commitment to meeting pressing needs and furthering critical initiatives across various sectors of the economy.