President Bola Tinubu on Friday presented the ₦58.18 trillion 2026 budget proposal to a joint session of the National Assembly.
Presenting the budget estimate, President Tinubu vowed that 2026 will mark a decisive shift toward stronger discipline in budget execution and results-driven governance.
President Tinubu said the Budget, titled “Budget of Consolidation, Renewed Resilience and Shared Prosperity,” is designed to consolidate recent economic reforms and translate stabilising macroeconomic indicators into improved living standards for Nigerians.
The President announced the end of the long-standing practice of running multiple budgets in the country.
He said the era of overlapping budgets, abandoned projects, inherited obligations, and perpetual rollovers must come to an end of Nigeria is to achieve fiscal discipline and sustainable development.
“Before I go any further, let me be upfront. This is a reset, a very hard one,” President Tinubu declared.
He said the practice of avoiding abandoned projects, piling up contractual obligations, and running multiple budgets on a single inflow has continued to undermine effective governance and economic planning.
“We are terminating the habit of running three budgets in one inflow.
“By March 31, 2026, all capital liabilities from previous years will be fully funded and closed.
“From April, Nigeria will operate on a single budget backed by a single revenue cycle — no overlaps, no excuses, no rollovers,” he said.
On measures to ensure strict adherence to appropriate timelines, improved revenue mobilisation, and tighter accountability across government institutions, the President said the 2025 budget implementation faced the realities of transition and competing execution demands.
”As at Q3 2025, we recorded ₦18.6 trillion in revenue—representing 61% of our target and ₦24.66 trillion in expenditure—representing 60% of our target.
“Following the extension of the 2024 capital budget execution to December 2025, a total of ₦2.23 trillion was released for the implementation of 2024 capital projects as of June 2025.
”While fiscal challenges persisted, the government met its key obligations. However, only ₦3.10 trillion—about 17.7% of the 2025 capital budget—was released as of Q3, reflecting the emphasis on completing priority 2024 capital projects during the transition period.
”Let me be clear: 2026 will be a year of stronger discipline in budget execution.
“I have issued directives to the Honourable Minister of Finance and Coordinating Minister of the Economy, the Honourable Minister of Budget and Economic Planning, the Accountant General of the Federation, and the Director General of the Budget Office of the Federation to ensure that the 2026 Budget is implemented strictly in line with the appropriated details and timelines.
”We expect improved revenue performance through the new National Tax Acts and the ongoing reforms in the oil and gas sector—reforms designed not merely to raise revenue, but to drive transparency, efficiency, fairness, and long term value in our fiscal architecture,” he said.
The President stressed that the focus on discipline and delivery is aimed at restoring public trust in the budget process, stressing that “the greatest budget is not the one we announce. It is the one we deliver.”
President Tinubu warned Government-Owned Enterprises (GOEs) and revenue-generating agencies that underperformance would no longer be tolerated, declaring that “Nigeria can no longer afford leakages, inefficiencies, or underperformance in strategic agencies.”
”I will also be unequivocal about Government Owned Enterprises. Heads of all GOEs are hereby directed to meet their assigned revenue targets.
”To support this, we will deploy end to end digitisation of revenue mobilisation —standardised e collections, interoperable payment rails, automated reconciliation, data driven risk profiling, and real time performance dashboards—so leakages are sealed, compliance is verifiable, and remittances are prompt.
”These targets will form core components of performance evaluations and institutional scorecards,” he said.
Highlighting recent economic indicators, President Tinubu said Nigeria’s economy grew by 3.98 per cent in the third quarter of 2025, compared to 3.86 per cent in the same period of 2024, while inflation moderated for eight consecutive months, declining to 14.45 per cent in November 2025 from 24.23 per cent in March.
He cited improved oil production, expanded non-oil revenues through better tax administration, renewed investor confidence, and external reserves rising to a seven-year high of about US$47 billion.
“These outcomes are not accidental. They reflect difficult but deliberate policy choices,” he said.
Outlining the fiscal framework, the President said the 2026 Budget projects total expenditure of ₦58.18 trillion and expected revenue of ₦34.33 trillion.
Capital expenditure is estimated at ₦26.08 trillion, while recurrent non-debt expenditure stands at ₦15.25 trillion.
Debt servicing is projected at ₦15.52 trillion, with a budget deficit of ₦23.85 trillion, representing 4.28 per cent of Gross Domestic Product.
The Budget is anchored on conservative assumptions, including a crude oil benchmark of US$64.85 per barrel, daily oil production of 1.84 million barrels, and an exchange rate of ₦1,400 to the US dollar for the 2026 fiscal year.
President Tinubu said the assumptions reflect the administration’s commitment to realism, prudence, and fiscal sustainability.
President Tinubu identified security, infrastructure, education, health, and agricultural productivity as key priorities in the 2026 budget.
According to him, the proposed allocations include ₦5.41 trillion for defence and security, ₦3.56 trillion for infrastructure, ₦3.52 trillion for education, and ₦2.48 trillion for health.
He stressed that the priorities are interconnected, noting that “without security, investment will not thrive,” while educated and healthy citizens are essential for productivity and economic growth.
On the fight against terrorism, the President declared that the Federal Government will show no mercy to terrorists and violent criminal elements.
He announced the establishment of a new national counter-terrorism doctrine to decisively confront terrorism, banditry, kidnapping for ransom, and other violent crimes threatening Nigeria’s stability.
”Our administration is resetting the national security architecture and establishing a new national counterterrorism doctrine—a holistic redesign anchored on unified command, intelligence, community stability, and counter-insurgency.
”This new doctrine will fundamentally change how we confront terrorism and other violent crimes that have become existential threats to our corporate survival and have heightened anxiety among our people,” he said.
In the health sector, President Tinubu welcomed over US$500 million in grant funding secured through recent high-level engagements with the Government of the United States for targeted health interventions across Nigeria.
He described the support as a decisive vote of confidence in Nigeria’s reform agenda and health sector priorities.
“We welcome this partnership and assure Nigerians that these resources will be deployed transparently and effectively.”
President Tinubu noted that strengthening Nigeria’s healthcare system remains a central pillar of his administration’s human capital development strategy, stressing that a healthy population is essential to productivity, economic growth, and national resilience.
He said the 2026 budget reinforces investments in healthcare delivery, disease prevention, maternal and child health, and health system strengthening, while ensuring accountability in the use of both domestic and international resources.
President Tinubu reaffirmed that projects under the Renewed Hope Agenda are steadily moving from vision to reality nationwide, with significant progress recorded in transport and energy infrastructure, port modernisation, agricultural reforms, and strategic investments designed to unlock private capital.
He explained that infrastructure development remains critical to reducing the cost of doing business, expanding market access, creating jobs, and improving the quality of life for Nigerians.
President Tinubu underscored the administration’s firm commitment to food security, describing it as a national priority and a core component of economic stability and social well-being.
”We will take decisive steps to strengthen agricultural markets.
“Food security shall remain a national priority. The 2026 Budget focuses on input financing and mechanisation; irrigation and climate resilient agriculture; storage and processing; and agro value chains.
“These measures will reduce post harvest losses, improve incomes for small holders, deepen agro industrialisation, and build a more resilient, diversified economy.
President Tinubu commended Nigerians for their understanding and resilience, assuring that his administration remains committed to easing the burdens of the transition to a more stable and prosperous nation.
“We promise to make sure that the benefits of reform reach households and communities across the Federation,” he said.
(vitalnewsngr.com)
