Report: 32 States Recorded 43% Budget Performance in Q1

Ndubuisi Francis in Abuja

No fewer than 32 out of the nation’s 36 states collectively achieved a budget implementation rate of 43 per cent from a total expenditure of N3.5 trillion in the first quarter (Q1) of 2026, a new report by Agora Policy has estimated.

Aggregate budget of the 36 states in 2026 stands at N36.98 trillion, up from N25.58 trillion in 2025.

Anambra, Delta, Ogun and Rivers were not covered in the report.

The sum of N1.8 trillion (51.5 per cent) of the expended N3.5 trillion was allocated to capital projects, while N1.7 trillion (48.5 per cent) covered recurrent costs.

Recurrent expenditure achieved for the 32 states reviewed showed an implementation rate of 63 per cent, while capital expenditure was lower at 33 per cent.

Kano and Imo states recorded the highest ratio of capital spending at 76 per cent, with Plateau (88 per cent) and Ondo (78 per cent) topping in recurrent expenditure.

According to the report, in the first quarter of 2026, 25 of the 32 states implemented less than 50 per cent of their expenditure budgets, while only seven states exceeded 50 per cent implementation rate.

Oyo (104.4 per cent) and Ekiti (66.1 per cent) led the rankings, with Enugu posting the lowest at 12.1 per cent.

Among the 32 states, five achieved a recurrent expenditure implementation rate above 80 per cent, while eight states were yet to attain 50 per cent during the period.

On the other hand, 29 states have implemented less than 50 per cent of their capital budgets with only Oyo, Bauchi and Lagos surpassing 50 per centin capital spending implementation for the period.

In value terms, Lagos, Oyo and Akwa Ibom recorded the highest total expenditure and capital expenditure in Q1 2026.

For recurrent expenditure, Lagos, Oyo and Ogun recorded the highest.

Oyo State recorded the highest budget performance on a pro-rated basis at 140 per cent compared to Enugu which had the lowest at 12 per cent.