Senate approves N2.285trn FCT budget after upward review

The Senate on Thursday passed the 2026 budget of the Federal Capital Territory Administration (FCTA), approving a total expenditure of N2.285 trillion for the fiscal year.

The approved figure represents an increase of N84 billion from the N2.201 trillion proposal earlier submitted to the National Assembly by President Bola Tinubu in March.

Lawmakers cleared the appropriation bill for the period covering January 1 to December 31, 2026, despite concerns over the absence of details on how the budget would be financed.

The budget scaled through at the Committee of Supply after senators overwhelmingly supported it through voice votes.

Godswill Akpabio, Senate President, formally announced the passage of the appropriation bill following the lawmakers’ approval.

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The Senate adopted the budget after considering a report presented by Austin Akobondu, senator representing Abia Central, on behalf of the Senate Committee on the FCT.

Akobondu said the committee engaged in consultations with Nyesom Wike, FCT Minister, alongside other officials, where agreements were reached on the framework and implementation structure of the budget.

He proposed a total expenditure of N2.285 trillion, comprising N165.775 billion for personnel costs, N378.231 billion for overhead expenses, and N1.741 trillion dedicated to capital projects.

A breakdown of the figures showed that capital projects account for 76.19 per cent of the budget, while overhead costs make up 16.55 per cent and personnel costs 7.25 per cent.

Ordinarily, executive budgets are accompanied by financing details, including projected revenues from internally generated revenue, loans, bonds, and other sources of funding.

Federal and state governments have increasingly depended on borrowing from local and international institutions to support annual budgets amid Nigeria’s rising debt burden.

The FCT Administration currently operates outside the Treasury Single Account framework after the Tinubu administration exempted it from the TSA policy, granting the minister direct access to the territory’s funds.

However, the absence of a revenue profile in the approved budget drew criticism from some senators during debate on the report.

Lawmakers warned that where funding sources are not clearly stated, governments may resort to loans, overdrafts, or debt instruments without prior legislative scrutiny, potentially increasing public debt obligations.

They also argued that without projected revenue details, it would be difficult for both lawmakers and the public to assess the sustainability and realism of the spending plan.

Tokunbo Abiru, senator representing Lagos East, questioned why the revenue profile was omitted from the budget presentation.

He nevertheless commended Wike for his performance in the FCT.

Sani Musa, senator representing Niger East, also argued that the appropriation could not be considered complete without disclosing its expected sources of revenue.

Godswill Akpabio agreed with the concerns raised and directed the committee to provide the Senate with the FCT’s revenue framework despite the passage of the budget.

Some lawmakers, however, praised the FCT minister for ongoing infrastructural projects across Abuja.

Barau Jibrin, Deputy Senate President, commended the budget, stating that it was a “top-notch . ”

He also hailed Wike for ongoing infrastructure development in the capital city, noting that the budget reflected the administration’s commitment to transforming Abuja.

Abdul Ningi, senator representing Bauchi Central, described the appropriation as balanced, while Abba Moro, Senate Minority Leader, said the budget would further strengthen development efforts in the Federal Capital Territory.