The Senate began detailed deliberations on Tuesday regarding the 2026 Budget Appropriations Bill, as lawmakers examined President Bola Tinubu’s proposed ₦58.47 trillion federal spending plan for the next fiscal year.
Leading the debate, Senate Leader Opeyemi Bamidele explained that the Bill provides the necessary legal authority to implement the 2026 Budget, which was previously submitted by the president to a joint session of the National Assembly on December 19, 2025. He noted that the budget proposal automatically passed its first reading after its formal submission.
Bamidele described the Budget Appropriations Bill as a crucial governance tool, noting that it translates fiscal policy objectives into legally enforceable expenditures. According to Bamidele, the 2026 Budget was prepared within the context of ongoing economic reforms aimed at stabilizing the economy, correcting structural imbalances, and strengthening public finance management.
He revealed that the proposed spending framework, totaling ₦58.472 trillion, comprises ₦4.097 trillion allocated to statutory transfers, ₦15.909 trillion for debt service obligations, ₦15.252 trillion for non-debt-related recurring expenditures, and ₦23.214 trillion earmarked for capital projects through the Development Fund.
The Senate leader stated that the spending structure reflects deliberate fiscal decisions, with capital expenditures representing the largest share of discretionary spending. He explained that this indicates the administration’s focus on long-term economic expansion and infrastructure renewal.
According to Bamidele, the capital allocation of ₦23.214 trillion will be directed to priority sectors such as transportation networks, energy, agriculture, industrial growth, housing, and the digital economy. He added that the investment strategy aims to boost private sector participation, generate employment, and improve food and energy security. Regarding recurring expenditures, he stated that the provision of ₦15.252 trillion is designed to sustain government operations and the delivery of public services, covering personnel costs and overhead expenses, while assuring lawmakers that cost-effectiveness measures would guide spending.
Addressing concerns about public debt, Bamidele stated that the ₦15.909 trillion set aside for debt service reflects existing commitments, but emphasized that the government is seeking to improve revenue mobilization to gradually reduce borrowing. He reaffirmed the Senate’s oversight role to ensure that any borrowing remains responsible and development-oriented.
He further noted that the statutory transfers of ₦4.097 trillion comply with constitutional requirements and are essential for the effective functioning and independence of key national institutions.
The Senate leader acknowledged the challenges experienced during the implementation of the 2025 budget, including revenue constraints and execution pressures. However, he stated that the Executive Branch is committed to stricter fiscal discipline in 2026, with greater use of digital revenue systems, tighter controls to prevent leakage, and greater accountability of state-owned enterprises.
With projected revenues of ₦34.33 trillion against estimated expenditures of ₦58.18 trillion, including ₦15.52 trillion for debt service, Bamidele affirmed that the projected deficit of 4.28% of GDP remains within the medium-term fiscal framework previously approved by the legislature.
He urged senators to submit the bill for a favorable second reading and refer it to the Appropriations Committee for thorough review, stressing that effective oversight, fairness, and resource optimization should guide legislative scrutiny to ensure successful budget execution.
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