The Minister of Budget and Economic Planning, Senator Abubakar Bagudu, has said Nigeria operates one of the smallest national budgets among the world’s 10 most populous countries, despite its large population and development needs.

Bagudu made the remark on Monday, calling for a broader national conversation on revenue mobilisation and stressing that the country must consider how to expand its fiscal space to fund development and achieve its long-term economic aspirations.

He spoke at the Senate Press Corps Capacity-Building Workshop in Abuja, organised with the theme, “Leveraging Legislative Oversight and Media Collaboration to Safeguard the National Budget from Unlawful Insertion.”

According to the minister, Nigeria’s budget conversation must begin with a fundamental question: “What is the national budget, and what should it be?”

He said the country’s limited fiscal space, relative to its population and development needs, raised questions about whether the current level of public spending was adequate to achieve its development objectives.

He said, “I would like to say that out of the top 10 most populous countries in the world, we have the smallest national budget.

“Should we continue with a budget that leaves our populace with one of the smallest budgets, or should we consider how we can mobilise more resources?”

Bagudu further urged journalists to ask the right questions and investigate budget provisions thoroughly, instead of reaching conclusions without sufficient context.

He explained that effective scrutiny of the national budget should go beyond identifying controversial provisions to understanding the constitutional process, the rationale for budgetary choices and the development needs such provisions were meant to address.

The former Kebbi State governor linked the issue to President Bola Tinubu’s Renewed Hope Agenda and the administration’s ambition to build a more prosperous and inclusive economy, noting that Agenda 2050 provides a broader context for decisions on resource mobilisation and public investment.

He said the ambition to build a $1tn economy required Nigerians to confront difficult but necessary questions about how the country mobilises resources and funds development.

The minister added that decisions on revenue, expenditure and borrowing could not be separated from public confidence, stressing that citizens’ understanding and support were important to the ability of both the government and the National Assembly to take major fiscal decisions.

He also underscored the constitutional role of the National Assembly in the budget process, noting that the legislature has ultimate authority over the national budget within Nigeria’s constitutional democracy.

Bagudu therefore called for greater public understanding of the relationship between the Executive and the legislature in shaping the budget, and encouraged the media to strengthen scrutiny through evidence-based reporting.

On alleged budget insertions, the minister cautioned against assuming that every unfamiliar provision was irregular, saying journalists should investigate the origin, purpose and beneficiaries of specific provisions.

“We are dealing with human processes and human errors. Therefore, vigilance is necessary, and the media and legislative oversight should remain vigilant,” he said.

He also called for a balanced discussion on budget transparency, particularly where the disclosure of sensitive information could have implications for national security or strategic interests.

While affirming the importance of transparency, accountability and the public’s right to know, he urged the media to recognise that responsible reporting also required consideration of the wider national interest.

Bagudu further charged journalists to remain rigorous in holding public institutions to account, while ensuring that coverage of the national budget did not lose sight of Nigeria’s broader development challenges.

“How careful are we to ensure that, while insisting on holding public officials to account, we do not lose sight of the bigger picture?” he asked.

An analysis published by The PUNCH in August showed that the combined budgets of Nigeria’s 36 states and the Federal Capital Territory rose by 47.5 per cent, from N27.22tn in 2025 to N40.14tn in 2026.

Despite the increase, the proportion allocated to capital projects fell from 73.24 per cent in 2025 to 64.34 per cent in 2026.

In nominal terms, however, capital expenditure increased from N19.94tn to N25.83tn during the period, indicating that the decline was in the share of overall spending rather than the absolute amount allocated to capital projects.

Meanwhile, the Federal Government’s 2026 budget stands at N68.32tn, significantly above the combined budgets of the 36 states and the FCT.