Tinubu Approves 2026 Budget N68.32tn, extends 2025 spending plan

By Philippine Duru

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President Bola Tinubu has signed the 2026 Appropriation Bill into law, approving a record ₦68.32 trillion national budget aimed at sustaining economic reforms, financing critical infrastructure and addressing key development priorities across the country.

The signing ceremony, which took place at the Presidential Villa in Abuja, marks a major fiscal milestone for the administration as the government intensifies efforts to stabilize the economy, improve public services and drive long-term growth.

A significant portion of the approved budget was allocated to debt servicing, underscoring Nigeria’s growing debt obligations and the pressure of loan repayments on public finances. The debt service allocation is expected to consume a substantial share of government revenue, reflecting the Federal Government’s commitment to meeting both domestic and external debt commitments.

The 2026 budget also contains allocations for capital projects, recurrent expenditure, security, education, healthcare, infrastructure development and social intervention programmes aimed at cushioning the impact of economic reforms on citizens.

Speaking shortly after assenting to the bill, President Tinubu said the budget was designed to consolidate ongoing reforms and stimulate economic expansion through targeted investments in productive sectors.

According to the President, the fiscal plan aligns with his administration’s broader economic agenda focused on revenue generation, infrastructure renewal, industrial growth and private sector participation.

Tinubu also announced the extension of the implementation period for the 2025 budget, a move intended to allow ministries, departments and agencies to complete ongoing projects and fully utilize allocated funds.

The extension is expected to ensure continuity in the execution of critical projects that were not fully completed within the original fiscal timeline. Analysts say the decision could help reduce abandoned projects and improve the overall effectiveness of government spending.

Economic experts, however, expressed concerns over the size of the debt servicing component in the new budget, warning that rising debt obligations could continue to limit the government’s fiscal space for development spending.

Despite the concerns, government officials insist that the administration’s economic reforms, including efforts to expand the tax base, improve oil production and attract foreign investment, will strengthen public finances and reduce fiscal pressures over time.

The National Assembly had earlier passed the Appropriation Bill after weeks of deliberations and budget defense sessions involving key government agencies and ministries.

Lawmakers described the budget as critical to sustaining economic recovery, tackling insecurity, creating jobs and improving infrastructure across the country.

The implementation of the ₦68.32 trillion budget is expected to be closely monitored by stakeholders, especially amid rising inflation, exchange rate volatility and growing public expectations for improved living conditions.