UPDATE 1-Nigerian lawmakers increase 2020 budget outline based on higher oil price

(Adds production level, background)

ABUJA, Oct 3 (Reuters) – Nigeria’s legislature on Thursday increased the value of the country’s 2020 budget outline to 10.729 trillion naira ($35 billion) based on expectations of higher oil prices.

The legislature passed a medium-term expenditure framework that increased the anticipated oil price to $57 per barrel from a previous $55 per barrel. That pushed the budget up from 10.002 trillion naira.

The finance minister had previously revised the expected oil price down from $60 per barrel to cushion against supply shocks.

The framework passed on Thursday also pegged oil production at 2.18 million barrels per day (bpd). While Nigeria is currently producing at roughly that level, it had pledged to cut it meet an OPEC cap on crude oil of 1.685 million bpd.

The document is a plan Nigeria uses to prepare its annual budget. The finance minister submits the framework to the legislature, which must then approve it.

President Muhammadu Buhari is expected to present a finalised budget proposal to the legislature on Tuesday.

$1 = 306.0000 naira
Reporting By Camillus Eboh, writing by Libby George; editing
by David Evans

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