FG Denies Spending ₦8 Trillion Outside 2026 Budget

he Federal Government has denied reports that it spent more than ₦8 trillion outside the 2026 budget, describing the claims as false and based on a misunderstanding of the International Monetary Fund (IMF) report.

In a statement issued on Sunday, the Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, said the government does not operate a “shadow budget” or spend public funds without the approval of the National Assembly.

His reaction followed comments by the IMF, which said Nigeria had public spending equivalent to about two per cent of its Gross Domestic Product (GDP) that was not reflected in recent official budgets. The IMF said this made the country’s fiscal deficit appear smaller than it actually was.

The IMF’s Resident Representative in Nigeria, Christian Ebeke, said the unreported expenditure should be properly recorded to improve the accuracy of Nigeria’s fiscal reports.

The IMF’s remarks sparked criticism from opposition leaders, including former Vice President Atiku Abubakar and Labour Party presidential candidate Peter Obi, who called for an investigation into the government’s spending.

Responding to the allegations, Oyedele said every Federal Government expenditure is backed by the Constitution, the Appropriation Act, supplementary budgets, or other laws passed by the National Assembly.

He explained that some government spending, such as multi-year capital projects, statutory transfers, debt servicing, security interventions, and disaster response programmes, are legally approved and should not be mistaken for off-budget spending.

According to the minister, these expenditures are publicly disclosed, subject to audit, and monitored by relevant oversight agencies.

Oyedele also stressed that the IMF did not accuse the government of illegal spending. Instead, he said the Fund’s recommendations were aimed at improving the reporting and presentation of Nigeria’s public finances.

He added that President Bola Tinubu had already proposed a single, harmonised budget system to eliminate overlapping budgets and improve fiscal transparency.

The minister reaffirmed the Federal Government’s commitment to transparency, accountability, and prudent management of public funds, urging Nigerians to rely on accurate information when discussing the country’s finances.

Short URL: https://www.africanexaminer.com/?p=107772