Bola Tinubu signs N68.32tn 2026 budget, extends 2025 capital spending to June

President Bola Tinubu has signed the 2026 Appropriation Bill into law, approving a total expenditure of N68.32 trillion for the fiscal year, in what is now one of Nigeria’s largest budgets on record.

The President also assented to the Appropriation (Repeal and Enactment) (Amendment) Bill, 2026, extending the implementation period of the capital component of the 2025 budget from March 31, 2026, to June 30, 2026, according to a statement issued by the State House on Friday.

Under the newly enacted law: N4.799 trillion is allocated for statutory transfers; N15.8 trillion is earmarked for debt servicing; N15.4 trillion is set aside for recurrent (non-debt) expenditure; N32.2 trillion is dedicated to the Development Fund for capital expenditure.

The Presidency noted that capital spending accounts for approximately 50 per cent of the total budget, reflecting the administration’s focus on economic stability, national security, infrastructure development, and inclusive growth.

According to the government, the spending framework seeks to strike a balance between statutory obligations, debt servicing, personnel and overhead costs, and investments targeted at boosting productivity and improving living standards.

The extension of the 2025 capital budget implementation period is aimed at ensuring the full utilisation of previously approved funds, particularly for infrastructure and development projects already at advanced stages across the country.

The Presidency said the move would enable Ministries, Departments and Agencies (MDAs) to consolidate ongoing projects, enhance completion rates, and maximise value for public expenditure.

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Earlier in March, President Tinubu wrote to the Senate seeking approval to increase the 2026 Appropriation Bill by N9 trillion, raising the proposed total from N58.4 trillion to N67.4 trillion. The letter was addressed to Senate President, Godswill Akpabio, and read during plenary.

The President said the upward review was intended to strengthen fiscal transparency and ensure effective implementation of priority national programmes.

However, the Presidency did not clarify whether the increase would be supported by new revenue sources or added to the existing deficit of N23.85 trillion, which had been captured in the original N58.4 trillion proposal.

When President Tinubu presented the 2026 budget proposal to the National Assembly in December 2025, he projected: Total revenue of N34.33 trillion; Total expenditure of N58.18 trillion; Debt servicing of N15.52 trillion; A budget deficit of N23.85 trillion

The 2026 budget prioritises security, infrastructure, and human capital development, with key allocations including: N5.41 trillion for defence; N3.56 trillion for infrastructure; N3.52 trillion for education; N2.48 trillion for health

The budget is built on conservative macroeconomic assumptions, including: Oil price benchmark of $64.85 per barrel; Daily oil production of 1.84 million barrels; Exchange rate of N1,400 to $1; Renewed Hope Agenda

With the 2026 Appropriation Act taking effect from April 1, the Federal Government is expected to commence full implementation in line with the administration’s Renewed Hope Agenda.

President Tinubu directed all MDAs to ensure disciplined, transparent, and efficient utilisation of allocated funds, emphasising value for money and timely delivery of projects.

He commended the leadership and members of the National Assembly for their cooperation in the swift consideration and passage of the budget and reaffirmed the need for sustained collaboration between the executive and legislative arms of government to advance national development priorities.