Rivers N1.85trn 2026 budget leaves more questions than answers

Whereas other states seem to be putting together facts for their 2027 budgets, Rivers State just woke up Friday, July 10, 2026, to hear that their 2026 budget has been presented. They had inkling to this last week when news filtered out through social media (as is often the case these days) that Gov Sim Fubara had gone to the Rivers State House of Assembly where he was said to have presented the state’s Medium Term Expenditure Framework.

Many wondered how the executive and legislature that never saw eye to eye suddenly found enough warmth to sit and present any matter of the state. The last presentation the governor made after their latest conflict was list of commissioner-nominees which actually didn’t fare well because some nominees perceived as close to Fubara were bounced. Since then, fresh coldness chilled the relationship.

Now, Gov Fubara truly went to the House and presented a budget of N1.85trn to the Martins Amaewhule-led House which is believed to be controlled by the former governor, the FCT Minister, who actually brought every person into government before he left.

While presenting the budget on Friday, July 10, 2026, Fubara placed the total estimated revenue for the year at N1.85 trillion and maned it; “Budget of Resilience for Growth and Development.”

He said it is the result of considerable public participation in a shared vision for building an economically resilient, thriving and prosperous Rivers State.

Fubara said that despite the challenges confronting the state, “The machinery of governance has continued to function, and we have made significant progress in our priority areas of road infrastructure, human capital development, as well as in the security of lives and property.”

The governor said the total projected revenue for the 2026 fiscal year N1.85trn only. “This means our proposed total operating revenue for 2026 is projected to increase by 24.49 per cent over the 2025 adjusted budget projections, due to possible increases in returns from FAAC, derivation funds and internally generated revenue, as the national economic outlook continues to show positive growth,” he said.

Fubara noted that the details of the 2026 budget assumptions and fiscal objectives were outlined in the Medium-Term Expenditure Framework 2026–2028, which he said the House had already considered.

Areas of clarification:

The budget has already elicited questions in areas the citizens did not understand, probably due to many political conflicts in the state that have affected governance.

Non-state actors taking first look at the budget which actually was only available through unverified social media influencers, wondered how the warring parties seem quiet and smooth-going. They wondered what the agreement was in the budget of almost N2trn for parties to be at peace on this only one subject.

The House had few months ago raised alarm that the Sole Administrator left N300bn in the treasury. Gov Fubara, an accountant, said it was true, but that he too had added N300bn to it. This immediately set off interest from everywhere to the fact that Rivers had cool N600bn sitting in its treasury. Wike accused some persons of rushing to Rivers State to support Fubara because of N600bn in one pack. In fact, he accused some federal leaders of collecting from it.

Many now ask what agreement that has made everyone quiet enough to approve the state budget.

Another point was the statement in the budget speech where Gov Fubara said he focused on road infrastructure. Many wondered if roads were the only form of infrastructure affecting the people in the face of decayed schools, hospitals, streets in the city, etc. Water remains a thing for the masses to source from the numerous boreholes.

The governor named human capital and security as other areas of his attention while the crisis lasted. Many want him to understand what human capital development meant and how it has been pursued in the crisis period.

They said if there were to be budget analysis sessions, they would want him to help explain the achievements in security in Rivers State. They referred to the that the Rivers Neighbourhood Watch agency which has remained comatose while other states have created one, the one for Rivers has been allowed to die.

They wanted to know how he has created jobs as claimed in the budget. “You said you have created jobs, please how and where? Is it the recently rumoured employment of 5000 teachers, or any other scheme? Is there a boost caused in the private sector traceable to the administration?

Budget details:

While presenting the budget on Friday, July 10, 2026, Fubara placed the total estimated revenue for the year at N1.8 trillion but gave total expenditure at N1.85trn.

He said the 2026 budget, titled “Budget of Resilience for Growth and Development,” is the result of considerable public participation in a shared vision for building an economically resilient, thriving and prosperous Rivers State.

Fubara said that despite the challenges confronting the state, “The machinery of governance has continued to function, and we have made significant progress in our priority areas of road infrastructure, human capital development, as well as in the security of lives and property.”

The governor said the total projected revenue for the 2026 fiscal year N1.85trn only. “This means our proposed total operating revenue for 2026 is projected to increase by 24.49 per cent over the 2025 adjusted budget projections, due to possible increases in returns from FAAC, derivation funds and internally generated revenue, as the national economic outlook continues to show positive growth,” he said.

Fubara noted that the details of the 2026 budget assumptions and fiscal objectives were outlined in the Medium-Term Expenditure Framework 2026–2028, which he said the House had already considered.

He listed projected revenue and sources as follows: Internally Generated Revenue (IGR) N487.6bn; total FAAC allocation, including derivation funds, value-added tax and exchange gain N936.0bn; opening and closing balances N48.1bn; and total capital receipts, including domestic loans, grants and asset sales N382.5bn; with total projected revenue placed at N1.85trn.

Fubara further said a total of N413.1bn is allocated to recurrent expenditure.

A breakdown of recurrent expenditure included: total personnel costs, including salaries for ministries, departments and parastatals N154.7bn; new recruitments N15.2bn; consolidated revenue fund charges N772.9m; overheads for MDAs N36.7m; grants, contributions and subsidies N9.7bn; gratuities N20bn; death benefits N7.bn; and monthly pensions N55bn.

Others include Employee Compensation Act N4bn; legacy pension gratuities N20bn; group life insurance N5bn; interest on domestic loans N28bn; interest on foreign loans N6.5bn; short-term domestic loan principal repayment N3.9bn; long-term domestic loan principal repayment N30.4bn; and foreign loans principal repayment N15.7bn, totalling N413.1bn.

Fubara added: “Mr Speaker may wish to note that we have proposed at least a 50% increase in overhead expenditure, to be enacted immediately once the budget becomes law.”

He said the sum of N1.4trn is allocated to capital expenditure. The sectoral breakdown is as follows: Administration N278.7bn, Economic N625.9bn, Law and Justice N65.3bn, and Social N435.4bn, totalling N1,4trn.

Fubara noted that “the capital budget has increased from N713.7bn in 2025 to N1.4trn in 2026, saying it is a 22.49% rise in infrastructure services expenditure.

“Major capital expenditure is planned in the following areas: Works and Infrastructure N533.3bn, Educational Development N315bn, Healthcare Delivery N105.4bn, Rivers State House of Assembly N41.5bn, Rivers State Judiciary N30bn, Agriculture N19.3bn, Power N15bn, Chieftaincy and Community Development N8.5bn, Sports N8bn, Youths N7bn, Women Affairs N6.5bn, and Environment and Sustainable Development N6.6bn.”

Gov Fubara made it clear that his administration did not tolerate mismanagement at any level. “We have wisely utilised public funds to provide services, attract investment, create jobs, and offer socio-economic opportunities for our people.

He said the budget has proposed at least a 50 per cent increase in overhead expenditure, to be enacted immediately once the budget becomes law. He said the N15bn has been provided for payment of new employees.

Conclusion:

Analysts suggest that Fubara’s eventual presentation of the budget signals reconciliation of the rift between him and the FCT Minister that had plunged the state into a political crisis. Fubara has withdrawn from 2027 reelection.

He has pledged support to the anointed successor. This means funds from government may be expended henceforth to run campaigns. Whatever is agreed needs the budget to be approved first.

Suspicion was high that the budget was to remain unapproved and funds were to remain untouched till the next governor would take over and may beet over N1trn in account and use it ‘better’.