Ogun Budgets ₦1.668trn for 2026

James Sowole in Abeokuta

Ogun State Governor, Prince Dapo Abiodun, on Wednesday presented the Year 2026 Appropriation Bill of N1.669 trillion before the State House of Assembly for consideration and approval.

The Appropriation Bill tagged “Budget of Sustainable Legacy”, consists of N624.76bn proposed as Recurrent Expenditure and N1.044tn Capital Expenditure.

The budget proposal
was presented during the plenary presided over by the Speaker Hon Oludaisi Elemide and witnessed by several stakeholders including traditional rulers

The expected revenue for the 2026 Fiscal Year consists of ₦509.88 billion Internally Generated Revenue (IGR) comprising an estimated sum of ₦250.00 billion from the Ogun State Internal Revenue Service (OGIRS) and ₦259.88 billion from other Ministries, Departments, and Agencies (MDAs).

The governor disclosed that funding from the Federal Government (FAAC revenue), including Statutory Allocations, Value Added Tax, and other shared revenues, is projected at ₦554.81 billion.

Abiodun said Capital Receipts are estimated at ₦518.90 billion, comprising internal and external loans as well as grants.

“Our Internally Generated Revenue capacity remains one of the most robust among subnational entities in Nigeria. We will continue to leverage our strategic position as a trade corridor, draw on insights from the rebased GDP, and capitalise on our proximity to Lagos State.

“Our focus is to deepen revenue transparency, expand the tax base, and strengthen fiscal sustainability—without placing additional burdens on residents,” Abiodun said.

Giving the breakdown of the 2026 fiscal expenditure plan, the governor explained that personnel costs would take N167.92bn; while consolidated revenue charges were pegged at N65.80bn, with public debt charges put at N99.98bn; just as overhead costs would gulp N291.06bn, with N1.044tn meant to take care of capital projects.

On sectoral allocation breakdown, Abiodun disclosed that education would take N275.40bn representing 17%; while the Health Sector was allocated N210.59bn amounting to 13%; adding that Housing and Community Development would take N166.96bn being 10%, while N40.54bn was earmarked for Agriculture and Industry, representing 2%, with Infrastructure taking N526.15bn amounting to 32%, leaving recreation, culture and religion with N42.24bn resulting in 3%.

Other allocations included Social Protection having N72.82bn (4%), General Public Service – Executive Organ to take N55.65bn (3%), General Public Service – Financial and Fiscal Affairs would also take N52.30bn (3%); while General Personnel Service to receive N3.86bn representing 0.2%.

Also, public order and safety was allotted N36bn (2%) with economic affairs having N7.45bn (0.4%); just as N15.70bn was reserved for the judiciary representing (1%); while the Legislature would take N33.67bn amounting to (2%), with the remaining N129.67bn representing 8% earmarked for Statewide interventions.

The Governor explained that the 2026 Budget was designed to address existing developmental challenges and implement sustainable solutions across all sectors; positing that the expenditure plan aligned with the State Development Plan (2018–2030) and the Economic Development Strategy, focusing on fiscal responsibility, human capital development, a competitive business environment, improved transport infrastructure, energy sufficiency and SME-driven industrialisation.

According to him, the 2026 Appropriation Bill, being the seventh in his administration, represented a deliberate effort to sustain, deepen and consolidate the State’s Transformative Agenda; emphasizing that the budget prioritised infrastructure development, education, healthcare delivery, housing expansion, food security, youth development, job creation and enhanced public service efficiency.

He noted that the proposals struck a balance between fiscal discipline and improved service delivery, ensuring that resources were deployed effectively to stimulate economic growth, reduce inequality and improve the living standards of all residents.

The Governor added that the document served as a roadmap for economic consolidation, long-term investment, and shared prosperity.

Giving an appraisal of the performance of the outgoing 2025 Budget, Abiodun revealed that by 30th September 2025, the State had recorded 58% of its pro‑rated revenue target and 52% of its pro‑rated expenditure target; describing this performance as evidence of fiscal discipline and a solid foundation. He expressed optimism that by year-end, the State’s overall budget performance would reach between 70 and 75%, providing a stronger financial base for the 2026 Budget.

On key programmes for the next fiscal year, Abiodun stated that the State would organise 2026 Gateway Afrobeat Drum Festival and the forthcoming 50th Anniversary of the State; describing both as major socio-cultural and economic events expected to unite citizens, boost tourism, promote creativity, attract investment and stimulate enterprise development.

He further outlined major capital projects for the next financial year to include the construction of 450km of urban and rural roads; expansion of the Ogun Light-Up Project, development of agro-processing facilities, construction and rehabilitation of school infrastructure, upgrading of hospitals and health centres, delivery of 3,000 new housing units, completion of the new Gateway International Airport Terminal and the development of the Gateway International Conference and Exhibition Centre (CCEC).

Other projects penciled down for next year included the upgrade of Stadia in Sagamu, Ijebu-Ode and Ilaro, construction of a new revenue house for OGIRS, completion of the 2,500-seater State Banquet Hall, rehabilitation of the Governor’s Lodge in Abuja and the Government House in Abeokuta and Public–Private Partnership (PPP) ventures for the Olokola Deep Sea Port, dairy farms, a global-standard theme park, and what he described as the world’s largest cotton factory projected to employ over 250,000 people.

According to him, “beyond figures, the heart of the budget lies in its commitment to improving lives and safeguarding the future of residents”.

He urged all commissioners and accounting officers to defend their budget proposals transparently and ensure effective implementation for the benefit of the people.

He said, “Mr. Speaker and the Honourable members, as we look to the year 2026, I am confident that, with divine guidance and our collective resolve, Ogun State will continue to chart a part of sustainable growth and shared and prosperity”, the Governor remarked.

Earlier in his welcome address, the Speaker, Elemide praised the governor for the restructuring the Assembly Complex, including the ongoing renovation of the Complex and other infrastructural projects that had enhanced the working conditions of the lawmakers and staff.

He noted that the presentation of the Appropriation Bill was a constitutional provision meant to ensure prudent utilization of public funds.

Elemide highlighted key legislative achievements, including the hosting of the third edition of the National Institute for Legislative and Democratic Studies Secondary School Competition on Legislature and Democracy; the Fifth Children’s Parliament maiden plenary, and the Southwest Youth Parliament, emphasizing the House’s commitment to democracy and good governance.

He disclosed that 19 bills were considered with 11 passed, alongside 56 wide-ranging resolutions across education, finance, judiciary, audit, sports, infrastructure, community development and transport compliance; while over 100 other matters relating to land, chieftaincy, environment and transport unions were amicably resolved.

The Speaker stressed the need for a Special Court to handle cases relating to Anti-Land-Grabbing Law, as land disputes now constitute more than 90% of petitions before the House.

Elemide thanked the Governor for granting approval for the recruitment of new staff members and requested additional professionals in other cadres, as well as the need for an upward review of the consolidated legislative salary structure, and cadre elongation for Official Reporters.

He also re-emphasised the need for financial autonomy for the State Legislature; while requesting timely submission of budget proposals by heads of Ministries, Departments and Agencies of government ahead of the 2026 budget defence sessions.