About 78 Ministries, Departments and Agencies (MDAs) of the Federal Government have allocated nearly N400 billion in the 2026 budget for the construction and rehabilitation of community halls, mosques, traditional rulers’ palaces, village market squares and civic centres.
An analysis of the budget also shows that more than half of the allocation targets projects that critics describe as non-developmental. These include the supply of grains, motorcycles and tricycles, sponsorship of community thrift societies, and the construction of museums and mini-stadia.
Several agencies make the allocations
The allocations cut across several federal institutions. They include the Ministry of Defence Headquarters, the Nigerian Air Force, the Nigerian Defence Academy, the Technical Aid Corps and the Ministry of Information and National Orientation.
Others include the Federal Ministry of Industry, Trade and Investment, the Federal Institute of Industrial Research, Oshodi, the National Building and Road Research Institute, the National Productivity Centre, the Industrial Training Fund and the Federal Cooperative College, Kaduna.
Analysts question spending priorities
Analysts argue that many of the projects do not reflect Nigeria’s most pressing development needs. Instead, they believe the funds should support sectors such as healthcare, education, security, roads and electricity.
They also warn that spreading public funds across numerous small projects weakens fiscal discipline. Consequently, they say the government loses opportunities to invest in projects that could deliver broader economic and social benefits.
According to the analysts, many of the projects also lack clear developmental impact. They added that weak oversight and limited transparency increase concerns about public spending.
Experts raise concerns over agency mandates
Experts also questioned why some agencies included projects that appear unrelated to their statutory responsibilities. For example, the National Building and Road Research Institute budget provides for village halls in Anambra State, an international market in Jigawa State and several traditional rulers’ palaces in Rivers and Kogi states.
The institute also plans to remodel five mosques in Kebbi, Ekiti and Jigawa states. Altogether, those projects cost more than N4 billion despite having no direct connection to the agency’s core mandate, analysts argued.
Similarly, the National Productivity Centre budget includes support for Ijaw musicians, construction of an Emir’s palace in Yobe State, refurbishment of Obas’ palaces in Ogun State and the construction of an abattoir in Gombe State.
The National Mathematical Centre also budgeted funds for constructing a Sociology Department building at Ahmadu Bello University, Zaria. Critics say the project falls outside the institution’s primary responsibility.
Economist blames National Assembly
Consultant economist and former central banker Chukwunonso Ihuma blamed the National Assembly for many of the controversial budget items. According to him, lawmakers often increase budget proposals submitted by MDAs before inserting projects that have little national impact.
He argued that Nigeria should return to zero-based budgeting. Under that system, every expenditure must be justified before approval rather than relying on previous allocations.
Ihuma also maintained that state and local governments should fund projects such as markets, civic centres and traditional rulers’ palaces. He said the Budget Office should have the authority to remove projects that do not serve national priorities.
Budget implementation concerns persist
President Bola Tinubu signed the 2026 Appropriation Bill into law in April. The budget provides for total spending of N68.32 trillion.
He also extended the implementation period for the 2025 budget to June 30, 2026. Later, the Senate approved another three-month extension for the capital component until September 30, 2026.
Lawmakers said the extension would prevent project abandonment and allow agencies to utilise released funds. However, analysts noted that Nigeria remains busy implementing the 2025 budget well into 2026.
Experts question budget assumptions
The Nigerian Institute of Social and Economic Research (NISER) said successful implementation of the budget would require stronger fiscal coordination, improved revenue mobilisation and structural reforms.
Similarly, the Chief Executive Officer of the Centre for the Promotion of Private Enterprise, Dr Muda Yusuf, said the end of Ways and Means financing has increased pressure on government finances.
Analysts also described several 2026 budget assumptions as unrealistic. The budget projects N36.87 trillion in revenue while leaving a significant deficit to be financed through borrowing.
The budget further assumes an oil price of $75 per barrel, daily production of 1.84 million barrels, GDP growth of 4.28 to 4.68 per cent, and debt servicing of N15.81 trillion.
According to the experts, Nigeria needs more realistic budget projections and stronger fiscal discipline. Otherwise, they warned, weak planning could continue to undermine public confidence and delay national development.
Read also: President Tinubu signs N68.32 trillion 2026 budget
