The Federal Government has disclosed that about 70 per cent of the 2025 budget will be rolled over into 2026.
The Minister of Finance and coordinating Minister of the Economy, Wale Edun, stated this on Monday during a one-day interactive session between the Senate Committee on Finance and members of the President’s economic team on the 2026–2028 Medium Term Expenditure Framework and Fiscal Strategy Paper (MTEF/FSP).
During the session, the Chairman of the Senate Committee on Finance, Sani Musa, disclosed that the session followed a formal request by the Executive to the Senate President, Godswill Akpabio, seeking approval of the 2026–2028 MTEF/FSP, which was approved by the Federal Executive Council on December 3, 2025.
The meeting was attended by the Minister of Budget and Economic Planning, Abubakar Bagudu; Minister of State for Finance, Doris Uzoka-Anite; Minister of Petroleum (Oil), Senator Heineken Lokpobiri; the Accountant-General of the Federation, Babatunde Ogunjimi and the Chairman of the Federal Inland Revenue Service, Zacch Adedeji.
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In his presentation, Edun stated that the 2024 budget had been extended and largely implemented, particularly on the capital expenditure side, with funds available to complete outstanding components.
He disclosed that only 30 per cent of the 2025 budget had been fully funded, necessitating the rollover of about 70 per cent into 2026.
According to him, revenue estimates rose from ₦20 trillion in 2024 to ₦40 trillion in 2025.
Edun acknowledged that the Federal Government’s revenue far exceeded actual collections, underscoring the need to shift focus from borrowing to revenue generation.
“There has been a yeoman’s job in revenue mobilisation, but we need a more robust revenue optimisation programme for 2026,” he stated.
“The focus is not borrowing but revenue. For the economy to grow, we need mass savings and productive investment.”
The Accountant-General of the Federation also told the committee that arrangements had been concluded to clear outstanding 2024 obligations, confirming that indigenous contractors had been paid up to 80 per cent, with the first and second batches of payments already completed.
However, lawmakers raised concerns over budget implementation. Senator Danjuma Goje questioned the continued non-implementation of constituency projects despite claims that revenue targets for 2025 had been met, warning that the country was effectively running three budgets simultaneously.
Other senators queried whether revenue projections would also be rolled over into 2026 and whether fresh capital funding would be introduced in the new budget cycle.
In response, Edun explained that the rollover was designed to prevent repeated budget extensions and ensure that 2026 operates as a single budget year. He noted that while non-oil revenue had performed relatively well, oil revenue remained a challenge, requiring flexibility in spending commitments.
Several senators called for the prompt payment of contractors, urging the government to prioritize outstanding obligations. Some lawmakers however, argued that rolling over 70 per cent of the 2025 budget while claiming to avoid multiple budgets amounted to playing with words.
At the end of the session, the Senate Committee on Finance announced the immediate constitution of a three-man committee to work with the President’s economic team to fast-track the release of payments to indigenous contractors.
Senator Musa said the National Assembly would rigorously interrogate the assumptions underpinning the MTEF to ensure fiscal discipline and realistic projections.
