Federal Ministries, Departments, and Agencies (MDAs) in Nigeria received only N12.13 trillion out of a planned N27.33 trillion in capital funding over three years. This left a cumulative shortfall of N15.21 trillion from 2023 to mid-2025.
Okay News reports that analysis of Budget Office of the Federation data revealed persistent underfunding. MDAs accessed just 44.37 percent of allocated capital votes.
In 2023, budgeted N5.31 trillion yielded actual spending of N3.25 trillion, a N2.06 trillion gap or 61.15 percent performance.
The 2024 budget rose to N11.21 trillion. Actual expenditure reached N5.81 trillion, creating a N5.40 trillion deficit and 51.85 percent execution.
For January–July 2025, pro-rated expectation stood at N10.81 trillion from a full-year N18.53 trillion. Releases totalled only N834.80 billion, implying a N9.98 trillion shortfall and 7.72 percent performance.
Debt service absorbed overwhelming revenue shares. In 2023, it consumed 83.15 percent of retained revenue.
The ratio fell to 63.54 percent in 2024 but rose to 79.39 percent in early 2025. Capital spending claimed 24.80–31.54 percent of revenue.
Rising obligations crowded out development projects. Contractors protested unpaid dues, demanding N760 billion pledged earlier.
President Bola Ahmed Tinubu approved committees to verify claims. Extensions and rollovers addressed delays.
Government-owned enterprises showed mixed results. Funding constraints hit MDAs harder.
Shortfalls delayed roads, schools, hospitals, and infrastructure. They eroded budget credibility and private sector alignment.
Development economist Aliyu Ilias lamented disrupted January–December cycles. Instability hampers project continuity and state planning.
The imbalance reflects structural fiscal pressures. Debt priorities limit capital for growth and services.
Reforms aim to stabilise cycles and boost releases. Sustained revenue mobilisation remains critical for development spending.
 in Nigeria received only N12.13 trillion out of a planned N27.33 trillion in capital funding over three years. This left a cumulative shortfall of N15.21 trillion from 2023 to mid-2025.){kind=link}