The House of Representatives, on Thursday, approved President Bola Tinubu’s 2026 Appropriation Bill, endorsing a proposed N58.18 trillion budget anchored on macro-economic stability, enhanced security, and increased capital expenditure.
The budget, christened “The Budget of Consolidation, Renewed Resilience and Shared Prosperity,” was presented to the National Assembly on December 19, 2025, and described by lawmakers as a defining moment in Nigeria’s economic re-engineering.
Speaking on the general principles of the budget, the Leader of the House, Mr. Julius Ihonvbere told the House that the Tinubu administration inherited “distorted and disarticulated institutions” and cautioned against expecting painless reforms, stressing that sustainable development requires difficult but necessary choices.
“Development that is not sustainable is not development at all,” he said, noting that the ongoing economic reforms, though painful, were essential to repositioning the country for long-term growth.
He cited key macroeconomic indicators to justify support for the budget, including a 3.98 percent economic growth rate ahead of the 2026 fiscal year, a drop in inflation to 14.45 percent from about 25 percent, improved revenues, export growth, and expanded foreign direct investment.
According to him, the naira has stabilised at N1,400 to the dollar, down from over N1,800, while Nigeria’s external reserves have climbed to a seven-year high of about $47 billion, sufficient to cover more than 10 months of imports.
“We have not printed a single naira since this government came into office. That fiscal discipline has helped stabilise the economy,” he added.
On the structure of the budget, total revenue is projected at N34.33 trillion against total expenditure of N58.18 trillion, leaving a deficit of N23.85 trillion. Non-debt recurrent expenditure is pegged at N15.25 trillion, while capital expenditure stands at N26.08 trillion, an allocation lawmakers described as a clear signal of commitment to sustainable development.
“This is a departure from the past where recurrent spending outweighed capital investment. Here, capital expenditure is higher, which is what drives real development,” the lawmaker said.
The 2026 budget assumptions include an oil benchmark of $64.85 per barrel and oil production of 1.84 million barrels per day.
Sectoral allocations show security and defence taking priority, with N5.41 trillion earmarked to address insecurity and food challenges, infrastructure receiving N3.56 trillion, education N3.54 trillion, and health N2.48 trillion.
Lawmakers also highlighted the administration’s aggressive international engagement to attract investment, citing recent diplomatic and economic missions, including to Turkey, as part of efforts to improve the business environment and strengthen partnerships.
The House noted that beyond figures, the budget represents a set of promises by the executive stronger budget discipline, improved revenue performance through new tax measures, blockage of leakages, consolidation of macroeconomic stability, human capital development, and prudent debt management.
“We are not saying the government is perfect, but it is our duty, as representatives of 360 constituencies, to guide it to do the right things at all times,” the lawmaker said.
Following contributions, the Speaker put the question to a voice vote. The “ayes” prevailed overwhelmingly, sealing the House’s approval of the budget.
The House after unanimously passing the budget for second reading adjourned plenary for two weeks for the budget defence.
