/ 1 November 2001

NIGERIAN GOVT BASES BUDGET ON $18 A BARREL

THE Nigerian government on Wednesday decided that the country’s budget for 2002 should be based on a price of $18 per barrel of crude oil, as against $22 for the current year, a minister said. The government plans to spend about 843-billion naira ($7,5-billion) in 2002, with capital expenditure accounting for 414 billion naira ($3,7-billion), said Solid Minerals Minister Kanu Agabi The policy objectives of the 2002 budget are to consolidate the foundation laid for “private sector-led, market-driven and growth-oriented economy,” reduce poverty, create employment, arrest inflation and pursue the government’s privatisation programme, the minister said. The budget will also seek to diversify the revenue base of the economy by encouraging the non-oil sector. Nigeria derives more than 95% of its revenue from oil earnings. – Sapa-AFP