Senate Passes ₦68.32trn 2026 Budget, Increases Tinubu’s Proposal

Senate Passes ₦68.32trn 2026 Budget, Increases Tinubu’s Proposal

The Senate on Tuesday passed Nigeria’s ₦68.32 trillion 2026 Appropriation Bill, marking a sharp increase from the ₦58.47 trillion initially presented by Bola Ahmed Tinubu in December 2025.

The upper chamber approved the revised figure following a formal request by the President, who sought an upward review of the budget to reflect additional fiscal realities, legacy obligations, and priority national projects.

The spending plan, themed “Budget of Consolidation, Renewed Resilience and Shared Prosperity,” is aimed at sustaining macroeconomic reforms, boosting economic growth, job creation, and poverty reduction, while strengthening social protection for vulnerable Nigerians.

The approved total of ₦68,323,309,818,667 includes ₦4.8 trillion for statutory transfers, ₦15.81 trillion for debt servicing, ₦15.43 trillion for recurrent expenditure, and ₦32.29 trillion for capital expenditure, with the capital component taking the largest share to drive infrastructure and development.

A major driver of the increase is the inclusion of about ₦7.71 trillion to settle outstanding capital projects rolled over from the 2025 fiscal year, alongside an additional ₦2 trillion earmarked for new priority interventions across sectors. Lawmakers noted that a significant number of 2025 projects could not be completed due to revenue constraints, necessitating their rollover.

READ ALSO:

• FG Raises Gas Price to $2.18/MMBtu, Signals Fresh Economic Pressure for Nigerians
• Court Orders Final Forfeiture of Jeremiah Useni’s UK Property to FG
• Senate approves Tinubu’s $6bn loan request

The Senate also approved key strategic interventions, including ₦478.6 billion as equity contribution for presidential legacy rail projects in Lagos, Kano, Kaduna, and Ogun states, as well as feasibility studies for urban rail systems in Enugu and Maiduguri. It further cleared ₦8.96 billion for feasibility studies covering the Calabar–Maiduguri corridor and the Maiduguri–Sokoto superhighway, underscoring a renewed focus on nationwide connectivity.

In the health sector, the budget provides ₦482.76 billion for critical interventions tied to Nigeria’s bilateral and multilateral commitments, while the judiciary received significant allocations. These include ₦98.5 billion for the Court of Appeal, ₦36.7 billion for the Supreme Court, and ₦268.54 billion to strengthen judicial capacity, particularly ahead of the 2027 general elections.

On the revenue side, the fiscal framework is supported by an upward adjustment of the oil benchmark, projected to generate an additional ₦2.59 trillion, alongside increased non-oil revenue expectations. Lawmakers highlighted improved performance in the telecommunications sector, projecting about ₦724 billion in company income tax from MTN Nigeria and ₦150 billion from Airtel Nigeria.

To finance the deficit, the government proposed additional borrowings of about ₦6.16 trillion, reflecting ongoing reliance on debt to support budget expansion amid revenue limitations.

The bill underwent extensive legislative scrutiny, including committee reviews, engagements with the President’s economic team, and a public hearing involving Ministries, Departments and Agencies (MDAs), civil society organisations, and other stakeholders.

The Senate Committee on Appropriations explained that the adjustments were necessary to “regularise outstanding legacy capital commitments” and prevent the 2026 budget from being weighed down by unresolved obligations. It also noted that nearly 70 per cent of capital projects were rolled over due to revenue shortfalls in 2025.

Lawmakers expressed concerns over delays in fund releases during the previous fiscal year and warned against bureaucratic bottlenecks that could hinder implementation. They called for stronger coordination between the executive and legislature, alongside strict oversight to ensure that budgetary allocations translate into tangible development outcomes.

In a related resolution, the Senate approved the extension of the 2025 Appropriation Act implementation period to June 30, 2026, to allow completion of ongoing projects.

Speaking after the passage, Senate President Godswill Akpabio said the revised budget would ensure adequate funding for critical sectors and accelerate national development. He added that the harmonised work between both chambers eliminated the need for a conference committee and expressed optimism that increased revenue—particularly from ongoing tax reforms—would support effective implementation.

The passage of the 2026 budget signals the Federal Government’s continued push to balance economic reforms, infrastructure expansion, and social investment, even as concerns persist over rising debt levels and fiscal sustainability.

Senate Passes ₦68.32trn 2026 Budget, Increases Tinubu’s Proposal