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Fubara, lawmakers battle stalls Rivers N1.85tn budget

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Revelations have emerged as to why the 2026 Appropriation Bill submitted by Governor Siminalayi Fubara to the Rivers State House of Assembly has not been passed into law, one month after the lawmakers received it.

Investigations by our correspondent revealed that fresh agreements between the Martin Amaewhule-led Assembly and the governor are the major reason for the delay in passing the budget, even as little has been heard about the proposal.

Recall that Fubara presented an appropriation bill of N1.854tn, christened the “Budget of Resilience for Growth and Development,” to the Assembly for consideration and approval on July 10, 2026.

Receiving the budget from the governor, the Speaker expressed concern over the late presentation but assured that lawmakers would give the proposal the attention it deserved in the interest of the state.

The delay has raised concerns, especially as the budget was presented late due to the lingering political crisis that rocked the state.

Also, there has been little information about the budget defence or other legislative proceedings expected to allow lawmakers to scrutinise the proposal before its passage.

Investigation by our correspondent showed that some projects across the state, including the multi-billion-naira Ring Road, are either not being executed or are being carried out on a limited scale, apparently due to the lack of appropriated funds.

However, criticisms have trailed the proposed N41.4bn allocation to the state House of Assembly, with some stakeholders and residents saying the amount is too high, while a few have defended the allocation because the House requires adequate funding to carry out its functions.

The Minister of the Federal Capital Territory, Nyesom Wike, while responding to questions from journalists during a special media chat in Port Harcourt last Tuesday, hinted at the reason for the delay, alleging that his successor, Fubara, had failed to fulfil almost all the agreements reached with the lawmakers and those he described as “the family.”

He specifically alleged that the governor had refused to fund the state House of Assembly Service Commission, among other obligations.

Wike stated, “The issue of budget, I know why you asked because you expected that once the budget is presented today, it will be passed tomorrow.

“Remember it won’t be that easy. But at the end of the day, the budget will be passed.

“This is why I tell people, yes, they have settled, but you see, do we just do it? Those things you expect them to do, but at the end of the day the budget will be passed and sent to the governor for his assent.

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“I will tell you totally that the governor has failed 90 per cent of what they all agreed on.

“Take, for example, he did not release funds to the State Assembly Commission and the rest of them. Cars were not provided.

“If the governor did not want to work with us, the governor would be okay, I’m the governor, and I will join the other party, which is also very dangerous.

“Or I will stay and betray, which is also very dangerous. There is no way you can play it.

“Therefore, it’s better, and it’s good for the interest of the state to work with the family. It’s all over the world.”

It was gathered that the lawmakers, out of what they termed goodwill and interest of the state, reached some undisclosed agreements with the governor before allowing the late presentation of the appropriation bill.

Most stakeholders were said to be disappointed that the bill, which they had expected the lawmakers to expeditiously consider and pass to prevent an imminent constitutional crisis, had been delayed for over a month.

A close source in the Assembly, who spoke on condition of anonymity, said fresh agreements between Fubara and the lawmakers were responsible for the delay.

“To resolve the lingering political crisis, the governor met with the lawmakers on his 2026 appropriation bill. They had an agreement, and the deal paved the way for the lawmakers to allow the governor to present his appropriation bill.

“But the governor has not been able to fulfil the agreements. Nobody forced him to enter into the agreement, which the lawmakers know is within his capacity to fulfil. Instead of doing it once, he is doing it in piecemeal,” the source disclosed.

When asked about the components of the new agreement, the source simply said, “I don’t have details of all of them. But some of them have to do with the lawmakers’ benefits and entitlements, especially their constituency projects.

“The governor has not done anything for them since assuming office, and I think they expect him to pay most of their outstanding benefits, and he agreed to do so, but hasn’t kept to his promise.”

He insisted that the lack of mutual trust between the governor and the lawmakers, following a series of unfulfilled promises and unkept agreements, had contributed to the delay in passing the bill.

“The House of Assembly does not trust the governor because of a series of broken promises and unfulfilled agreements. So, in any new agreement, they want the governor to satisfy his own side of the bargain first. What they are asking for is legitimate.

“They are not begging for it, and nobody forced the governor to agree to it. They only want him to fulfil it now because they don’t believe he will still do it after getting the budget,” he said.

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Efforts to reach the Chief Press Secretary to the Governor, Onwuka Nzeshi, failed, as he neither answered calls put across to his mobile nor replied to messages sent to him as of the time of filing this report.

Meanwhile, a prominent voice in the state and Convener of the Rivers Peace Initiative, Obinna Ebogidi, called on the Rivers State Executive and House of Assembly to provide clarity on the status of the 2026 Appropriation Bill and ensure its passage without further delay.

Ebogidi said the delay was becoming a concern because the budget was presented late and the Assembly leadership had earlier indicated that it would receive accelerated consideration.

Ebogidi said Rivers people deserved to know where the budget currently stood and what was responsible for the apparent slow pace of consideration.

According to him, “I think the most important thing at this point is for Rivers people to have clarity on where the 2026 budget currently stands.

He further said that, having been assured of accelerated consideration because of the late presentation, citizens would naturally expect to have seen appreciable progress in the state by now.

“So, naturally, citizens would expect to have seen appreciable movement by now. The concern is not about rushing the legislative process, but about ensuring that the process does not lose momentum, particularly because implementation time is already becoming limited,” Ebogidi stated.

The RPI convener noted that the budget delay was taking place against the backdrop of significant political realignments in the state ahead of the 2027 elections, even as he stressed that political developments should not be allowed to undermine the day-to-day administration of the state.

“We also have to appreciate the political context in which this is happening. There are significant political realignments taking place, and the governor has a relatively short period left in the life of the administration,” he said.

Ebogidi, however, said while political developments were a normal part of democratic engagement, governance must continue irrespective of the political arrangements ahead of 2027.

He said, “Those developments are part of politics and should be allowed to take their course. But irrespective of the political arrangements around 2027, the government must continue to function.”

Ebogidi noted that Rivers residents still had pressing needs which required government attention, while critical sectors of the economy and public service could not afford to be stalled because of political considerations.

See also  Import waivers, insecurity end two-year agric trade surplus

“The people still have immediate needs, and critical sectors cannot be held back by the political calendar,” he said, and appealed to both the executive and legislative arms of government to communicate clearly with the people on the issues surrounding the budget and demonstrate a sense of urgency in concluding the process.

“My appeal is really for both the executive and the legislature to give Rivers people some clarity and urgency.

“If issues are delaying the process, let citizens understand them. If there are none, then the budget should move forward,” he stated.

He noted that political reconciliation and effective governance were not mutually exclusive, urging the relevant authorities to pursue both simultaneously.

According to him, the remaining months of the administration should ultimately be judged by its ability to deliver tangible development to the people rather than by the intensity of political activities ahead of 2027.

“In the end, what should define these remaining months is not the politics of 2027, but the quality of governance and the tangible things that can still be delivered to the people of Rivers State,” Ebogidi said.

He recalled the impact of the prolonged political crisis in the state, saying Rivers residents had borne the brunt of the disruption to governance and development.

“After all, it is the people who paid the greatest price in denied governance and lost development opportunities during the nearly two years of governance gridlock in the state,” he said.

Similarly, the National President of the South-South Youths Initiative, Oscar Imeabe, expressed concern over why the budget submitted by the governor a month ago was still pending in the state House of Assembly.

Imeabe said the budget was the blueprint for development, pointing out that the delay had affected project execution and implementation one way or the other.

“One month after Governor Fubara presented the 2026 budget to the Rivers State House of Assembly, the budget is still pending.

“The question Rivers people are asking is simple: Won’t this delay affect governance and the execution of projects across the state?

“Budgets are the blueprint for development. Every day of delay is a day of delayed roads, schools, hospitals, and youth programmes.

“We urge the House of Assembly to prioritise the passage of the budget so the government can continue to serve the people effectively.”

Source: punchng.com

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Nigerian states’ revenues rise 93%, but education spending drops — World Bank

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The World Bank says Nigeria’s 36 states recorded a 93 per cent increase in revenues between 2023 and 2025 but education received a declining share of the sector’s expenditure.

The bank disclosed this in its latest Nigeria Development Update, which examined how increased public revenues have influenced spending priorities across the federation.

The report was made available to the News Agency of Nigeria by the World Bank in Washington D.C.

According to the report, states’ aggregate revenues rose by approximately 93 per cent in real terms, while expenditure increased by 92 per cent during the period.

The report attributed the improvement partly to exchange-rate reforms, petrol subsidy removal, stronger revenue administration and increased allocations from the federation account.

It said states also benefited from refunds, settlement of longstanding federal obligations, intervention funds, and stronger Value Added Tax collections.

However, education’s share of total state expenditure declined from 14.9 per cent in 2021 to 12.1 per cent in 2025, according to the report.

Health expenditure remained broadly stable at approximately seven per cent, while social protection’s share increased from 1.4 per cent to 4.4 per cent.

The bank said capital expenditure increased significantly, accounting for 61 per cent of state spending, compared with 46 per cent previously.

Transport infrastructure recorded the largest increase, alongside substantial spending on housing, agriculture and other economic investments.

The report quoted Mathew Verghis, the World Bank Country Director for Nigeria, as saying that increased revenues provided the opportunity to improve infrastructure, education, healthcare, and water services.

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He said greater spending efficiency, accountability and improved service delivery were essential to ensuring that additional public resources benefited Nigerians.

The bank acknowledged improvements in states’ fiscal reporting, transparency and internally generated revenue.

It, however, stressed that stronger investment in human capital was necessary to translate economic reforms into sustainable employment and improved living standards.

The report also projected average economic growth of 4.4 per cent between 2026 and 2028, subject to sustained reforms and improved service delivery.

It urged federal and state authorities to ensure that increased public revenues translated into tangible improvements in Nigerians’ welfare.

NAN

Source: punchng.com

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Nigeria promotes investment without building production capacity – UNILAG don

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A professor of Comparative Political Economy at the University of Lagos, Adelaja Odukoya, has asserted that Nigeria’s economic policies promote investment without sufficiently strengthening domestic production.

Odukoya argued that the contradiction had weakened the country’s productive foundations, with policies encouraging investment and entrepreneurship while failing to create the technological capacity, productive employment and processing industries needed to drive sustainable development.

Odukoya spoke at the maiden edition of the Adeleke University Toyin Falola Annual Lecture, held on Thursday at the Performing Arts Theatre, Adeleke University, Ede.

The lecture had as its theme, “History, Power and Accumulation: Reimagining Africa in the Globally Disorderly Order.”

Odukoya identified several contradictions in the way the Nigerian state manages economic activity.

He said, “The state promotes investment without creating conditions for technological transfer. It encourages entrepreneurship without generating sufficient productive employment.

“It expands primary-product exports while leaving processing capacity undeveloped. It constructs infrastructure without establishing strong linkages with domestic production.”

According to him, the contradictions explain why increased economic activity and accumulation do not necessarily translate into development.

“Accumulation is not synonymous with development,” Odukoya stated.

He argued that genuine development should be measured by the expansion of productive, technological, institutional and human capabilities.

“A country could attract investment, export minerals and agricultural commodities and record economic activity while still failing to build the domestic industries and technological capabilities required for long-term development,” he said.

His argument was echoed by Prof Toyin Falola, who said Africa’s vast natural resources would continue to reinforce dependency unless governments developed the industrial, technological and institutional capacity to transform them into productive power.

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Falola said Africa’s resource problem was not simply one of historical exploitation, but also the continent’s failure to convert its resource endowments into power.

“The issue, however, is not just to repeat the history of exploitation. It is more important to know how Africa turns its great resources into power,” Falola said.

He argued that Africa could not afford to remain a spectator as global economic and geopolitical arrangements continued to change, stressing that resource ownership without the capacity to add value would not guarantee influence.

Falola said the continent required a combination of knowledge, government policy and industrial capacity to change its economic position.

“There must be universities that generate new knowledge; there must be governments that translate this knowledge into policies; there must be industries that add value to the continent’s natural resources,” he said.

He added that Africa needed more than improved infrastructure and stronger economies if it wanted to exercise greater influence in the global system.

“The future of the continent will require more than just better infrastructure, improved economies, and more effective political institutions,” Falola said.

Source: punchng.com

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Import waivers, insecurity end two-year agric trade surplus

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Import waivers meant to ease hunger and insecurity on farms have led to a deficit, ending a two-year run of surpluses, as Nigeria’s agricultural trade balance swung from a N740.27bn surplus in the first half of 2025 to a N56.13bn deficit in H1 2026, according to agriculture and trade experts.

Recent foreign trade data from the National Bureau of Statistics showed that agricultural exports fell by 33.28 per cent, or N985.14bn, to N1.98tn in H1 2026 from N2.96tn in H1 2025.

Agricultural imports fell by only 8.50 per cent, or N188.74bn, to N2.03tn from N2.22tn over the same period. The gap between the two movements produced a N796.40bn swing in the trade balance.

Nigeria recorded a N365.74bn deficit in H1 2023, when imports of N926.25bn far exceeded exports of N560.51bn. The balance then turned to a N194.92bn surplus in H1 2024 before it widened to N740.27bn in H1 2025.

In separate phone interviews with The PUNCH, Agribusiness experts, including the Chairman of the Lagos Chamber of Commerce and Industry’s Agricultural and Allied Group, Tunde Banjoko, explained that recent government policy led to the shift.

Banjoko said, “Some waivers were given for products like palm oil and rice, and the import tariffs were drastically reduced. It became more favourable for people to import than to patronise local producers.”

He said the waivers on food commodities hurt domestic producers, even though lower tariffs on tractors and manufacturing equipment helped them.

According to Banjoko, “The effect is that our imports will rise above our exports. Second, we will discourage local production. Thirdly, we will be reducing employment, because some factories will shut down if they are not able to compete.”

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Banjoko also said weak funding for processors compounds the problem. He said foreign direct investment flows mainly into the capital market rather than into production and processing, so local processors cannot scale.

He urged the Federal Government to speed up the Special Agro-Industrial Processing Zones programme. “We should speed up such projects where we can produce enough for our country and start exporting, not look for shortcuts by reducing prices,” Banjoko added.

Meanwhile, the Chief Executive Officer of the Centre for the Promotion of Private Enterprise, Dr Muda Yusuf, identified two major factors behind the deficit. He said the first was the Federal Government’s decision to allow some food imports to tackle runaway inflation.

Yusuf said, “The first is the decision of the government to allow for some food imports as a result of the challenges of food inflation, which at a point was getting almost completely out of hand.”

He added that insecurity worsened the supply gap and cut export capacity, stating, “Insecurity led many farmers to leave their farms. Many of them have ended up in IDP camps, and quite a number have completely abandoned farming.”

He added that farmers cannot export without output. Yusuf said, “You can only export when you have the output.”

Yusuf also said high input costs and falling produce prices have discouraged farming. He said, “Most of these inputs are imported, so the exchange rate situation has seriously affected the cost of inputs, and the prices of produce have gone down.”

He urged the Federal Government to cut the cost of fertiliser, agrochemicals, machinery and improved seedlings. He also called for a minimum guaranteed price for agricultural produce.

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Yusuf said, “The government can establish a threshold below which, if prices fall, it will give farmers some compensation. That is the way it is done in many other economies.”

Source: punchng.com

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