President Bola Tinubu on Wednesday surprised lawmakers by presenting a massive N58.18 trillion 2026 budget to the National Assembly.
The proposal, tagged the “Budget of Consolidation, Renewed Resilience and Shared Prosperity,” signals a firm push to lock in reforms.
It also reflects a strong message that Nigeria is entering a stricter phase of fiscal discipline and security enforcement.
Presenting the bill, Tinubu said the budget followed two and a half years of “painful but necessary” reforms. According to him, the reforms were designed to stabilise the economy and restore confidence among investors. The 2026 Appropriation Bill is projected at 3.87 per cent of Nigeria’s Gross Domestic Product.
Targeted revenue is put at N34.33 trillion, while total spending stands at N58.18 trillion. However, the resulting deficit of N23.85 trillion represents 4.28 per cent of GDP. Tinubu assured lawmakers that overlapping budget cycles would end by March 31, 2026.
He said all projects captured in the 2025 budget must be completed and fully paid by then.
“The greatest budget is not the one we announce. It is the one we deliver,” the president said. He stressed that the figures reflect firm national priorities, not mere accounting entries.
“These numbers are not just accounting lines. They are a statement of national priorities,” Tinubu added.
Under the proposal, debt servicing alone will gulp N15.52 trillion. Recurrent non-debt spending is estimated at N15.25 trillion. Capital expenditure is placed at N26.08 trillion, signalling a renewed infrastructure drive. Meanwhile, defence and security received N5.41 trillion, the single largest sectoral allocation. Education and health were allocated N3.52 trillion and N2.48 trillion respectively.
The budget assumptions include oil production of 1.84 million barrels per day. Oil price is benchmarked at $64.85 per barrel, with an exchange rate of N1,400 to the dollar. On security, Tinubu issued one of his strongest warnings yet.
“Henceforth, any armed group or gunwielding non-state actors operating outside state authority will be regarded as terrorists,” he declared.
He said bandits, kidnappers, militias, and armed gangs would be treated as terrorists. Moreover, financiers and protectors of violence would face the same designation. On the economy, Tinubu said Nigeria is showing signs of recovery.
He cited 3.98 per cent GDP growth in the third quarter of 2025. Inflation, he said, moderated for eight straight months to 14.45 per cent in November 2025.
“Our external reserves rose to a 7 year high of about US$47 billion,” Tinubu noted.
“These outcomes are not accidental. They reflect difficult but deliberate policy choices,” he added.
In addition, Tinubu ordered government-owned enterprises to meet revenue targets. He warned that inefficiency would no longer be tolerated in key agencies.
The president said investments in education and health would deepen. Over 418,000 students, he disclosed, have benefited from the education loan scheme.
Health spending represents six per cent of the budget, excluding liabilities. Tinubu assured Nigerians that the hardship of reforms would yield shared gains.
“Our task now is to consolidate these gains so that stability becomes prosperity, and prosperity becomes shared prosperity,” he said.
He expressed confidence that cooperation with lawmakers would deliver results. The 2026 Appropriation Bill, Tinubu said, belongs to all Nigerians and reflects renewed hope.
