Senate passes N2.34trn FCT budget for second reading

…as NDDC N1.7trn fiscal estimates pass third reading

The Senate on Wednesday passed the 2026 budget of the Federal Capital Territory Administration (FCTA) for second reading after debating its general principles during plenary.

The budget proposal seeks to authorise spending of about N2.201 trillion for the FCT from January 1 to December 31, 2026. Of the amount, N165.7 billion is proposed for personnel costs, N378.2 billion for overheads, and N1.6 trillion for capital projects.

The proposal was introduced in the chamber during Wednesday’s plenary and scheduled for second reading the same day before it was passed.

President Bola Tinubu had earlier transmitted the budget to the National Assembly in a letter read during Tuesday’s plenary by Godswill Akpabio.

Unlike the budgets of Nigeria’s 36 States, the FCT’s budget must be approved by the National Assembly because the territory is administered directly by the Federal Government through the Federal Capital Territory Administration.

As a result, the President transmits the annual budget to the National Assembly for approval.

Leading the debate on the general principles of the bill, Opeyemi Bamidele, Senate Leader, said the budget is expected to consolidate ongoing projects in the Federal Capital Territory and boost the development of public infrastructure.

Bamidele noted that the budget would also address infrastructure development, environmental and waste management challenges, and the development of satellite towns.

He urged his colleagues to support the passage of the bill, noting that it was in the interest of residents of the nation’s capital territory.

Barau Jibrin, Deputy Senate President, described the budget as well structured, noting that it prioritises key sectors such as road infrastructure, education and environmental management.

Jibrin also commended the Minister of the Federal Capital Territory, Nyesom Wike, for the ongoing infrastructural development in Abuja.

However, Tokunbo Abiru raised concerns over the proposal, saying lawmakers needed to carefully study the detailed breakdown of the budget.

Abiru, Chairman of the Senate Committee on Banking, Insurance and Other Financial Institutions, also noted that lawmakers should examine the budget’s revenue sources.

He observed that the document did not give a breakdown of the sources of revenue to finance the budget.

According to him, the budget proposal ought to have come with identified sources of funding for the budget to avoid possible distortions at the implementation stage.

Responding, Godswill Akpabio commended Nyesom Wike and the leadership of the ruling All Progressives Congress (APC), particularly President Bola Tinubu, for the infrastructural development in Abuja.

Akpabio added that the development contributed to the party’s victory in the recent FCT Area Council elections where the APC won five of the six area councils.

Akpabio thereafter put the bill to a voice vote, and the majority of lawmakers supported its passage for second reading.

The bill was subsequently referred to the Senate Committee on the Federal Capital Territory, which is expected to submit its report next week.

Meanwhile, the Senate also approved the 2025 statutory budget of the Niger Delta Development Commission (NDDC) amounting to N1,750,923,400,137.15 after considering the report of its Committee on NDDC.

A breakdown of the budget shows personnel expenditure at N47,567,421,121; overhead expenditure at N49,929,253,117; internal capital expenditure at N22,357,552,302; and development projects at N1,631,069,173,597.

The approval followed the presentation and consideration of the committee’s report by Ekpenyong Asuquo, Chairman of the Senate Committee on Niger Delta Development Commission.

Presenting the report, Asuquo said: “that the Senate do Receive and Consider the Report of the Committee on Niger Delta Development Commission on the 2025 Statutory Budget Proposal of the Niger Delta Development Commission (NDDC).”

Asuquo said, “In view of the foregoing, the Committee recommends as follows: That the REVENUE PROFILE for the Commission for the Year 2025 is as follows: Revenue Brought Forward N107,477,781,733; Federal Government Contribution N626,533,344,370; Federal Government Contribution (i.e., Unpaid and uncollectible by Federal Government) & Recoveries by Federal Government Agencies N53,679,481,050.”

According to him, oil companies’ contributions and Nigeria Liquefied Natural Gas Limited and others stand at N902,873,830,884, while Ecological Funds account for N8,358,962,100.

Asuquo further stated: “The Committee observed that the thrust of the developmental aspect of the budget covered areas like Education, Health, Youth Empowerment, Energy and Power Supply, Industrial and Enterprise Development, Security, Sports, Infrastructure, Agriculture and Fisheries.

“The Committee also observed a significant rollover of the Year 2024 Budget, which is in furtherance of the Commission’s drive to ensure completion of ongoing projects that will guarantee sustainable development, economic prosperity and improved livelihood of the people of the region.”

He added that the committee reviewed the proposed statutory contribution from the Federal Government and aligned it with the amount approved in the 2025 Appropriation Act.

Asuquo said, “On the revenue projections of the Commission, N776,533,334,370.00 only was proposed as Statutory Contribution from the Federal Government by the NDDC.

“However, the National Assembly in the Appropriations Act, 2025, approved the sum of N626,533,344,370.00 only as Federal Government Contribution to the NDDC.

“Since the proposed Federal Government contribution by the NDDC for Year 2025 is more than the amount approved by the National Assembly in the Appropriations Act, 2025, the Committee adopted N626,533,344,370 only as Statutory Contribution from the Federal Government, which is the figure reflected in the Appropriations Act, 2025.”

He also said the committee adopted N53,679,481,049.79 as unpaid arrears by the Federal Government following disclosures that the funds had been recovered by government agencies.

“The Committee adopted the submission of the Commission on Personnel Expenditure of N47,567,421,121.26; Overhead Expenditure of N49,929,253,117.00 only; Internal Capital of N22,357,552,302.22 only. The Committee also approved the budget for Development Projects of N1,631,069,173,596.67 only,” Asuquo added.

He further noted that the committee resolved that the lifespan of the 2025 statutory budget of the commission is one fiscal year and will elapse on December 31, 2026.