CSO’s Raise Alarm Over Budget Delays, Rising Debt and Fiscal Transparency Gaps

By Zainab Uzomah| Abuja

A coalition of Nigerian civil society organisations has raised concerns over what it describes as serious breaches of constitutional and fiscal rules in the country’s public finance management, warning that delays in the 2026 budget process and weak transparency could deepen economic risks.

The concerns were presented at a press conference addressed by Andrew Mamedu, Country Director, Action Aid, Comrade Eustace Imoyera James Semar, Assistant General Secretary of the Nigeria Labour Congress (NLC); Celestine Ohmudili Odo, Head of Programme and Policy at ActionAid Nigeria; Eze Onyekpere, Lead Director of the Centre for Social Justice (CSJ); Auwal Musa Rafsanjani, Director of CISLAC; John Onyeukwu, Chief Executive of Impactbridge Africa; and Yafeyi Gabriel of Plan International Nigeria.

The groups said the executive and legislature had failed to comply with key provisions of the Constitution and the Fiscal Responsibility Act (FRA) 2007 governing budget timelines, fiscal discipline and accountability.

They noted that the 2026–2028 Medium Term Expenditure Framework (MTEF), which should guide the budget, was neither presented nor approved on time, describing this as a violation of existing laws. As of 7 April 2026, they said, the 2026 federal budget had yet to be approved by the National Assembly or signed by the President, raising uncertainty over government spending and economic planning.

The organisations also expressed concern over a proposed increase of about ₦9 trillion in the budget, citing fears over deficit financing and unclear funding sources. They warned that continued reliance on borrowing could heighten inflationary pressures and worsen Nigeria’s debt sustainability outlook.

On budget implementation, the groups said the federal government had not fully executed the 2025 capital budget, arguing that attempts to extend the financial year through executive requests and legislative motions violate the law. They stressed that under the Financial Year Act, Nigeria’s fiscal year runs from January 1 to December 31 and can only be altered through formal legislative amendments, not procedural votes.

The groups further criticised the Ministry of Finance for failing to publish quarterly budget implementation reports for 2025 within the legally required timeframe, describing this as a setback for transparency and accountability. They added that citizen participation in the budgeting process remains weak, with key fiscal documents often released late or not made publicly accessible.

On public debt, the organisations highlighted a sharp increase in Nigeria’s debt profile, which rose from ₦87.379 trillion in June 2023 to ₦153.292trillion by September 2025. They warned that the trend raises the risk of a debt trap if not properly managed, especially in the absence of timely and transparent debt reporting in line with international best practices.

They also pointed to broader economic pressures, noting that while the removal of fuel subsidies had increased government revenues, it had also contributed to higher fuel prices and a rising cost of living. The groups said savings from subsidy removal should be transparently managed and used to cushion vulnerable populations.

Concerns were also raised about inefficiencies in the oil and energy sectors. The organisations cited over $15 billion spent on refinery rehabilitation with little to show, including reported failures linked to the Port Harcourt and Warri refineries. In the electricity sector, they noted persistent liquidity challenges despite government interventions, including a ₦3.3 trillion support facility funded through borrowing, while losses of over 40%continue due to technical and commercial inefficiencies.

The coalition called for urgent reforms, including strengthening the Fiscal Responsibility Commission, enforcing sanctions for breaches of fiscal laws, and publishing annual compliance scorecards for government agencies.