NASS Passes ₦68.3 Trillion 2026 Budget After Delay, Raising Concerns Over Implementation And Budget Culture

NASS Passes ₦68.3 Trillion 2026 Budget After Delay, Raising Concerns Over Implementation and Budget Culture

After weeks of hesitation, the National Assembly has passed a ₦68.3 trillion budget for the 2026 fiscal year, marking an around 17 per cent increase over the figure originally presented by the executive and igniting debate over implementation timelines, fiscal discipline and Nigeria’s budget culture. The budget was passed by both chambers the Senate and the House of Representativeswith lawmakers approving additional spending requests from the executive that expanded the original proposal of about ₦58 trillion to a total of ₦68.3 trillion. Approval of the fiscal plan follows months of delay since its presentation in December 2025 and comes alongside adjustments to allow the rollover of unfinished legacy obligations and address priority national projects.

The final fiscal plan incorporates ₦32.29 trillion for capital expenditure, ₦15.43 trillion for recurrent (non‑debt) spending, ₦15.81 trillion for debt servicing and ₦4.8 trillion for statutory transfers making it one of the largest budgets in Nigeria’s history. Lawmakers said the boost was necessary to regularise obligations carried over from the 2025 fiscal cycle and to ensure continuity in critical infrastructure spending. xA major component of the increase includes roughly ₦5.71 trillion in legacy capital obligations from the 2025 appropriation and about ₦2 trillion for new priority infrastructure projects omitted in the initial proposal, according to National Assembly reports. The budget’s passage nearly three months after its initial presentation and the prospect that implementation may begin in April rather than January if the President assents soon effectively shifts Nigeria’s fiscal cycle to April–March, departing from the traditional January–December framework. Officials said the cycle shift may result if the bill is signed into law in early April. Critics argue that the delay reflects entrenched weaknesses in Nigeria’s budget culture, where implementation consistently lags long after approval and fiscal cycles have become misaligned. Last year’s appropriation, for example, did not fully kick off until September, fuelling concerns that poor execution undermines fiscal planning and broader economic performance. With Nigeria’s economy still weighed down by weak revenue performance and high debt servicing costs, the expanded budget raises questions about execution capacity and fiscal sustainability. The government’s own projections included revenue targets of more than ₦34 trillion, yet past performance data shows recurrent under‑performance, potentially widening the fiscal deficit. Analysts warn the deficit initially projected at nearly ₦23.85 trillion could soar toward ₦35 trillion if revenue goals are not met, straining Nigeria’s borrowing capacity. Observers also note that the legislation places additional pressure on the Federal Government to fund and execute capital projects, intensifying scrutiny on how effectively allocated resources will translate into tangible infrastructure and social service outcomes. Proponents of the expanded budget, including key lawmakers, defended the revisions as prudent and necessary. The Chairman of the Senate Committee on Appropriations said the adjustments reflected formal requests from the executive aimed at addressing emerging national priorities, infrastructure needs and unresolved funding gaps. Lawmakers emphasised that the additions were backed by due process and subjected to legislative scrutY If President Bola Ahmed Tinubu assents to the budget bill in the coming days, implementation will begin in earnest, with capital project execution extended to allow for ongoing major undertakings. However, the challenges of consistent and timely fiscal execution remain, prompting calls from economists and civil society for greater transparency, oversight and adherence to established budgetary timelines to enhance confidence in Nigeria’s public finances.