LAGOS — Nigeria’s National Assembly on Tuesday passed a record ₦68.30 trillion ($49.38 billion) budget for the 2026 fiscal year, significantly scaling up the government’s spending plans to combat inflation and infrastructure deficits.
The approved “Budget of Consolidation” followed a last-minute request from President Bola Tinubu to adjust the initial ₦58.18 trillion proposal submitted in December, citing the need for increased investment in national priorities.
A cornerstone of this year’s fiscal policy is the transition to a single, unified budget cycle. President Tinubu informed lawmakers that the government will officially close all capital liabilities from previous years by March 31, 2026
The move is designed to eliminate the historical practice of running multiple budgets concurrently, which officials say has long hampered transparency and project execution.
The budget is anchored on a projected revenue of ₦34.33 trillion, leaving a deficit of approximately ₦33.97 trillion. The government plans to bridge this gap through a mix of domestic and external borrowings.
Key benchmarks for the fiscal year include a crude oil price of $64.85 per barrel and an average exchange rate of ₦1,400 to the US Dollar.
Security and infrastructure remain the primary focuses of the administration. Defence and Security received the largest share, totaling over ₦5.41 trillion, as the military seeks to modernize its equipment and stabilize volatile regions.
Other major allocations include ₦3.56 trillion for infrastructure, ₦3.52 trillion for education, and ₦2.48 trillion for health.
The administration is targeting a 4.68% GDP growth rate for 2026. The budget also assumes a continued decline in inflation, which the government aims to bring down to 14% by year-end.
Lawmakers urged the executive to ensure strict implementation, emphasizing that the success of the budget depends on fiscal discipline and the timely release of funds to key sectors.
