The Federal Government has earmarked ₦6.12bn for judgement debts and related liabilities across three ministries in the proposed 2026 budget, according to a review of the appropriation bill.
The figures show that the 2026 allocation is slightly higher than the ₦6.05bn proposed for 2025, according to The Punch.
This represents a year-on-year increase of about ₦75.06m, indicating that total obligations arising from court judgements and outstanding liabilities have remained largely unchanged, despite reduced provisions for some ministries.
The Federal Ministry of Works accounts for the largest share of the proposed 2026 allocation, with a total of ₦5.39bn set aside for judgement debts.
This includes ₦1.4bn classified generally as judgement debt, as well as an additional ₦3.99bn linked to a specific legal matter, Suit No. LD/7036GCM/2023.
In the 2025 budget, the Ministry of Works was allocated ₦5bn for judgement debts, implying an increase of about ₦390m in 2026, largely driven by the inclusion of the specific court case.
Meanwhile, the Federal Ministry of Education headquarters is proposed to receive ₦700m in 2026 for outstanding capital liabilities and judgement debts.
This marks a decline from the ₦1bn provided in the 2025 budget, pointing to a lower allocation for unresolved claims related to education projects.
The Federal Ministry of Health and Social Welfare headquarters has the smallest allocation among the three ministries. It is set to receive ₦34.86m for judgement debts in 2026, down from ₦49.8m in the previous year.
This reduction reflects a lower budgetary provision for court-related liabilities compared with 2025.
Despite cuts to allocations for the education and health ministries, the overall rise in the 2026 figure is driven by higher provisions for the Ministry of Works. The data indicate that judgement debts remain concentrated in infrastructure-related ministries, where contractual disputes and compensation claims are more common.
In October 2025, the Minister of Works, Dave Umahi, disclosed that the Federal Government’s concession plan for the Lagos–Ibadan Expressway had been stalled by a court case.
