Nigeria is set to overhaul its national budgeting system, moving to a single, consolidated framework from March 2026. This significant shift aims to streamline financial management and align the nation’s fiscal operations with international best practices, according to Philip Agbese, the Deputy Spokesperson of the House of Representatives. The reform seeks to enhance transparency and accountability across all government tiers, marking a pivotal step in the country’s economic governance.
The announcement follows a recent legislative move by the National Assembly, which, at the request of President Bola Tinubu, repealed and re-enacted both the 2024 and 2025 national budgets. This crucial action also extended the implementation timeline for the 2025 budget through to March 2026, creating a bridge for the transition to the new unified system. The extension ensures fiscal alignment and continuity of public expenditure during this period of structural change.
Speaking to journalists in Abuja, Mr. Agbese elaborated on the rationale behind the impending change, emphasizing its potential to foster a more predictable and coherent funding structure for the federal government. He highlighted that the current system, often characterized by multiple appropriations within a single fiscal year, has presented significant operational challenges. The move to a single budget is therefore a direct response to these complexities.
The legislative spokesperson underscored that a singular budgetary system would substantially ease the burden of oversight for the parliament, while simultaneously simplifying the execution process for the executive arm. “By adopting a single budget after 31 March 2026, the executive will be able to execute the budget without much hassle,” Agbese stated, pointing to improved efficiency as a key benefit. This unified approach is expected to minimize bureaucratic hurdles and expedite project implementation.
Furthermore, Agbese explained that a consolidated funding system would significantly enhance cash flow management and ensure the timely release of funds to various government agencies and projects. This operational improvement is critical for maintaining economic stability and ensuring that public services are delivered without undue delays. The current fragmented approach has often led to bottlenecks and inefficiencies in resource deployment.
The imperative for this reform stems from the Federal Government’s recurring difficulties in successfully executing its annual budgets, particularly highlighted by the operational challenges encountered during the 2024 and 2025 fiscal years. These past periods often necessitated the management of multiple appropriation acts within a single calendar year, creating a labyrinthine financial landscape. Such a fragmented approach frequently resulted in delays, inefficiencies, and a lack of clear accountability, hindering the timely implementation of critical government projects and programmes.
President Tinubu’s administration has consistently articulated a commitment to fiscal discipline and economic stability since assuming office. Mr. Agbese lauded the President’s vision, affirming that the parliament is fully aligned with these objectives and dedicated to implementing reforms that strengthen public finance management. This collaborative effort between the executive and legislative branches is deemed essential for national progress.
Experts in public finance have long advocated for a unified budgeting system, citing its prevalence in many developed and emerging economies worldwide. This approach is widely recognized for fostering greater fiscal discipline, enabling more effective resource allocation, and providing clearer metrics for performance evaluation. Nigeria’s adoption of this model signals a strategic move towards standardizing its fiscal management in line with contemporary global governance principles.
The House of Representatives, through its steadfast commitment to these comprehensive budgetary reforms, aims to achieve tangible improvements in public service delivery across the nation. Beyond operational efficiencies, a core objective is to restore and bolster public confidence in the integrity, transparency, and overall effectiveness of the government’s financial planning and execution processes. This strategic overhaul is thus viewed as foundational to establishing a more robust and accountable financial governance framework for Nigeria’s enduring stability and prosperity.
