FG Dismisses Claims Of ₦8 Trillion Spending Outside Approved Budget

According to IReporter Online, the Federal Government has dismissed allegations that it spent over ₦8 trillion outside the approved national budget, describing the claim as false and a misinterpretation of the International Monetary Fund’s (IMF) 2026 Article IV Consultation Report.

The Minister of Finance and Coordinating Minister of the Economy, Mr. Taiwo Oyedele, stated that the Federal Government does not operate any form of “shadow budget” nor engage in public expenditure outside the constitutional and legal framework governing public finance in Nigeria. He emphasized that all government spending is conducted strictly within provisions of the 1999 Constitution and relevant laws passed by the National Assembly.

Oyedele explained that public funds are only accessed and utilized through duly approved Appropriation Acts, Supplementary Appropriation Acts, and other statutory authorizations. He further noted that multi-year capital projects are legally permitted to span across budget cycles in line with established fiscal procedures.

He dismissed suggestions that trillions of naira were expended without legislative approval, urging those making the allegations to identify specific projects allegedly executed outside legal provisions and provide credible evidence to support their claims.

The minister clarified that the figures being referenced relate to lawful expenditures already captured under existing fiscal frameworks. These include statutory transfers, debt servicing obligations, allocations to government agencies and development commissions, revenue retention costs by designated agencies, capital allocations for specific institutions and the Federal Capital Territory, as well as special intervention funds for security, infrastructure, and emergency responses.

Oyedele further rejected claims that the reported figures reflect an increase in Nigeria’s fiscal deficit, explaining that the deficit is determined by the gap between revenue and total expenditure, and not by the structure of lawful funding mechanisms such as statutory transfers or supplementary appropriations.

He added that the IMF’s observations were largely focused on issues relating to the comprehensiveness, timing, and presentation of Nigeria’s fiscal reporting, rather than any allegation of unlawful spending.

According to him, the Tinubu administration has already taken steps to improve budget coordination, including moves to harmonize multiple overlapping budgets into a single consolidated framework, as directed by President Bola Ahmed Tinubu during the presentation of the 2026 Appropriation Bill.

Oyedele reaffirmed the government’s commitment to transparency, fiscal discipline, and accountability, noting that ongoing reforms in budgeting, revenue administration, treasury management, and digital financial systems have strengthened public financial governance. He added that these reforms have received positive recognition from the IMF, international financial institutions, credit rating agencies, investors, and global media organizations.

He urged Nigerians to rely on verified facts in public discourse and avoid misrepresenting technical fiscal reporting issues as evidence of illegal expenditure. The Federal Government, he said, will continue to uphold the rule of law and collaborate with relevant institutions to strengthen fiscal governance in line with global best practices.