Nigeria’s 2026 budget proposes about N3.50 trillion in new projects, even after budget guidelines urged MDAs to rollover most of 2025 capital budgets and avoid adding fresh initiatives.

What’s new in 2026: The 2026 Appropriation Bill shows new project entries totaling about N844.49 billion across ministries, departments, and agencies (MDAs). When you include Service Wide Votes, the total rises to N3.50 trillion, which is about 15.1% of the planned capital expenditure of N23.21 trillion.

Service Wide Votes dominate: The bulk of the new-project money sits outside regular ministerial lines, with Service Wide Votes accounting for roughly N2.66 trillion.

The 70% rollover rule: In December 2025, the government directed MDAs to carry over 70% of their 2025 capital budgets into 2026 to focus on finishing ongoing projects and curb spending pressures amid weak revenues. The circular emphasised aligning new spending with national needs and development priorities like security, economy, education, health, agriculture, infrastructure, power, and social safety nets.

Pushback and reality on the ground: Despite the directive, FGN observers note at least 82 MDAs still include fresh capital or programme items, with more than 400 new project lines identified—ranging from large infrastructure to smaller, constituency-level initiatives (like boreholes and training schemes).

The largest single line is N1.70 trillion for 2024 outstanding contractors’ liabilities, making up almost half of the total new-project amount.

• • Three Service Wide Lines—each at N100 billion—cover funds for the Nigeria Development Finance Corporation, the Economic Transformation Finance Programme, and the Nigeria Growth Investment Fund, totalling N300 billion.
  • Other notable entries include capitalisation of INFRACO (N20 billion), a DSS special operations fund (N30 billion), and N110.31 billion for the Nigerian Air Force to settle obligations on certain helicopters.
  • Presidential air fleet logistics and National Forest Guard operations clock in at about N283.85 billion.
  • MDAs with the biggest new-project allocations:
  • Budget Office of the Federation tops the list with N375 billion (largely tied to a Power Sector Recovery Operation loan line).Federal Ministry of Transport headquarters shows two major entries totalling around N210.53 billion (rail and bus-terminal projects). National Library of Nigeria has N24 billion earmarked for renovations and space upgrades. National Blood Service Commission and Sokoto Rima River Basin Development Authority each have significant new-project allocations (N15 billion and N9.14 billion, respectively). Other observations: After the top five, many new-project lines cluster around health, education, and related sectors, with additional lines for vehicle purchases and office furnishings. Some renovations and staff housing programs also appear in the mix. Context and commentary: The late budget presentation has sparked calls for better scrutiny by the National Assembly and Budget Office to ensure value for money and alignment with stated priorities. Some economists say fiscal discipline remains a work in progress, with concerns about whether these new-project allocations reflect genuine national priorities or an oversight in oversight.

The 2024 Budget Call Circular had already cautioned against new capital projects for 2025 unless they clearly supported ongoing work and national priorities, emphasising security, economy, education, health, infrastructure, and social safety nets, with a focus on women and youth empowerment.

The tension between the rollover directive and actual new-project additions suggests ongoing challenges in budget discipline and project oversight.