Approval Clears Path for Tinubu to Present ₦54.46tn 2026 Budget to National Assembly
The House of Representatives on Thursday approved the 2026–2028 Medium Term Expenditure Framework (MTEF) and Fiscal Strategy Paper (FSP), endorsing a crude oil benchmark of $64.85 per barrel for the 2026 fiscal year, higher than the $60 benchmark earlier adopted by the Senate.
The House also approved a total proposed federal expenditure of ₦54.46 trillion for 2026, made up of ₦31.83 trillion in Federal Government retained revenue and ₦20.38 trillion in new borrowings, covering both domestic and foreign loans.
Approval Follows Committee Report Adoption
The approval followed the adoption of the report of the joint Committees on Finance and National Planning during plenary, after lawmakers resolved into the Committee of Supply, chaired by Deputy Speaker Benjamin Kalu.
Under the approved framework, key fiscal assumptions were retained, including:
- Debt service: ₦15.52 trillion
- Pensions, gratuities and retirees’ benefits: ₦1.376 trillion
- Fiscal deficit: ₦22.63 trillion
Other approved figures include:
- Capital expenditure (exclusive of transfers): ₦20.13 trillion
- Statutory transfers: ₦3.152 trillion
- Sinking fund: ₦388.54 billion
The House also sustained total recurrent (non-debt) expenditure of ₦15.27 trillion, alongside special intervention spending of ₦200 billion for recurrent expenditure and ₦14 billion for capital projects.
Tinubu to Present 2026 Budget on Friday
With the passage of the MTEF and FSP, all legislative requirements have now been concluded, paving the way for President Bola Ahmed Tinubu to formally present the 2026 Appropriation Bill to a joint session of the National Assembly on Friday.
Earlier, Speaker Tajudeen Abbas read a letter from the President confirming his readiness to personally lay the budget before lawmakers, in line with the provisions of the 1999 Constitution (as amended).
According to the letter, the President will present the budget at 2:00 pm on Friday in his capacity as President and Commander-in-Chief of the Armed Forces.
Oil Output, Exchange Rate, Inflation Projections Sustained
Speaking ahead of the report’s consideration, Deputy Speaker Kalu disclosed that the joint committees made 10 recommendations, all of which were unanimously adopted by the House.
The committees recommended sustaining crude oil benchmark prices of:
- $64.85 per barrel in 2026
- $64.30 per barrel in 2027
- $65.50 per barrel in 2028
They also endorsed domestic crude oil production projections of:
- 1.84 million barrels per day (mbpd) in 2026
- 1.88 mbpd in 2027
- 1.92 mbpd in 2028
On exchange rate assumptions, the House sustained projections of:
- ₦1,512/$ for 2026
- ₦1,432/$ for 2027
- ₦1,383/$ for 2028
The committees said the assumptions align with the Central Bank of Nigeria’s policy to stabilise the naira and strengthen fiscal and monetary coordination.
Inflation projections were also retained at 16.5 percent for 2026, 13 percent for 2027, and 9 percent for 2028, while GDP growth was projected at 4.68 percent, 5.96 percent and 7.9 percent respectively, reflecting expected gains from tax reforms.
Revenue Reforms, Next Legislative Steps
The House further recommended the implementation of a National Scanning Policy within the National Single Window of the Nigeria Revenue Service, noting that it would improve revenue assurance, reduce leakages, enhance trade facilitation and strengthen national security.
Following the approval, Speaker Abbas announced that the House would reconvene on Tuesday, December 23, 2025, to consider the report of the House Committee on Appropriations on the repeal and re-enactment of the ₦43.56 trillion 2024 budget.
Tinubu Transmits 2025 NDDC Budget
Meanwhile, President Tinubu has transmitted the 2025 statutory budget proposal of the Niger Delta Development Commission (NDDC) to the National Assembly, just days before the end of the year.
In an accompanying letter, the President said the proposal was prepared in line with Section 121 of the 1999 Constitution and aligns with the Federal Government’s fiscal priorities under the Renewed Hope Agenda.
The budget, he noted, prioritises youth employment and empowerment, energy and power supply, education, industrial development, health security, and agricultural productivity, aimed at lifting more Nigerians out of poverty.
