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National Assembly okays N2.29tn FCT budget, sets 76% for capital projects

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The National Assembly on Thursday passed the 2026 Statutory Appropriation Bill for the Federal Capital Territory, approving a total expenditure of N2.285tn for the development and administration of the nation’s capital.

The approval followed the presentation and consideration of the harmonised report of the Senate and House of Representatives Committees on the FCT during plenary.

The report was presented by the Vice Chairman of the Senate Committee on the FCT, Austin Akobundu (Abia Central), on behalf of the committee chairman, Ibrahim Bomai (Yobe South).

Presenting the report, Akobundu said the joint committees recommended the sum of N2.285tn as the FCT statutory budget for 2026 from a projected revenue of N2.385tn.

He explained that the budget proposal contained N165.7bn for personnel costs, N378.2bn for overhead costs, while N1.741tn was allocated to capital expenditure.

According to him, the structure of the budget indicated a strong focus on infrastructure development and public service delivery, with 76.19 per cent of the total allocation devoted to capital projects, while recurrent expenditure accounted for 23.8 per cent.

Akobundu said the appropriation process complied with constitutional provisions and emerged after extensive deliberations between the National Assembly committees and officials of the Federal Capital Territory Administration.

He said, “The committees met with the minister and other relevant officials of the FCTA and deliberated extensively on the subject matter.”

Lawmakers who contributed to the debate commended the fiscal framework of the budget, describing it as balanced and development-oriented.

Deputy President of the Senate, Jibrin Barau, praised the spending plan, saying it demonstrated a strong commitment to infrastructural renewal in the FCT.

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He said, “Mr President, the budget is top-notch. You know, I am the only one in the history of the legislature in this country that has had the opportunity to serve as chairman appropriation committee in the House and in the Senate.

“So when I see a good budget, I know it’s a good budget. It is a budget that’s top-notch. We have to commend the FCT minister for doing a very good job.

“A budget that you have a total of N2.2tn, and out of this, N1.7tn is going for capital. It shows his willingness and determination to continue to show FCT to the admiration of all.”

Abdul Ningi (Bauchi Central) described the appropriation as well-structured and responsive to concerns previously raised by lawmakers during oversight engagements with the FCTA.

Ningi said the budget was well-packaged and well-balanced, considering the observations made by the Senate Committee on the FCT last year.

The Senate thereafter passed the bill through third reading, paving the way for its transmission for presidential assent.

At the House of Representatives, the lawmakers also passed the 2026 statutory budget proposals of the FCT.

They also passed N1.75tn respectively for the Niger Delta Development Commission.

The approvals followed the consideration and adoption of reports presented to the House during plenary by the relevant committees.

Presenting the report on the FCT budget, Chairman of the House Committee on the Federal Capital Territory, Muktar Betara, said the N2.29tn proposal was structured to address personnel obligations, overhead costs and critical infrastructure projects across the nation’s capital.

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According to him, “Out of the N2.29tn, the sum of N165.78bn is for personnel costs while N378.23bn is for overhead costs.

“The balance of N1.74tn is for capital projects, for the service of the Federal Capital Territory, Abuja, for the financial year commencing January 1 and ending December 31, 2026.”

A breakdown of the recurrent expenditure showed that the Federal Capital Territory Administration secured N151.44bn for its operations.

In what lawmakers described as part of ongoing efforts to strengthen security architecture in Abuja and surrounding satellite communities, the House approved N6.79bn for the security services department of the FCTA.

The lawmakers also approved N1.51bn and N910.20m for the FCT Muslim Pilgrims Welfare Board and the Christian Pilgrims Welfare Board, respectively.

For capital projects, the education sector received N162bn, while engineering services got the largest allocation of N758.15bn.

The resettlement and compensation department was allocated N143.18bn, public buildings received N2.38bn, while the satellite towns development department secured N212.74bn.

Meanwhile, details of the N1.75tn NDDC appropriation obtained by The PUNCH showed that N47.57bn was earmarked for personnel costs, while overhead expenditure stood at N49.93bn.

The commission also secured N22.36bn for internal capital expenditure, with the bulk of the budget — N1.63tn — dedicated to development projects across the oil-producing Niger Delta region.

The approval followed the consideration of a report presented by the Chairman of the House Committee on NDDC, Erhiatake Ibori-Suenu.

For the NDDC, the passage of the N1.75tn budget is expected to strengthen intervention projects in the oil-rich region, where concerns over underdevelopment, environmental degradation and youth unemployment have persisted for decades despite the area’s contribution to national revenue.

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Nigeria pledges to strengthen bilateral cooperation with India

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The Permanent Secretary of the Ministry of Foreign Affairs, Ambassador Dunoma Ahmed, has reaffirmed Nigeria’s commitment to strengthening bilateral cooperation with India.

Ahmed stated this during a meeting with the High Commissioner of India to Nigeria, Abhishek Singh, at the Ministry’s Headquarters on Thursday in Abuja.

A statement issued by Kimiebi Ebienfa, the ministry’s spokesman, said Ahmed expressed appreciation to Singh for the cordial relations between Nigeria and India.

He said that cooperation between both countries would focus on deepening ties ahead of the India-Africa Forum Summit scheduled to be held in New Delhi in May, 2026.

According to him, both countries are strategic partners united by shared democratic values and common aspirations for sustainable development and South-South cooperation.

He underscored the importance of the forthcoming BRICS and India-Africa Forum engagements in advancing multilateral cooperation among developing countries amid evolving global political and economic realities.

Ahmed reiterated Nigeria’s interest in increased Indian investments in key sectors of the economy, particularly manufacturing, agriculture, mining, renewable energy, and local value addition.

He further stressed the need for strengthened collaboration in security and counter-terrorism, especially through technological cooperation and defence capacity building.

Earlier, Singh briefed Ahmed about preparations for the BRICS Foreign Ministers’ Meeting slated for May 14 to 15, at the Bharat Mandapam in New Delhi.

Meanwhile, the India-Africa Forum Summit is expected to convene African leaders and senior officials later in the month.

Singh said, “ Nigeria, as a BRICS partner country and a major stakeholder in Africa, occupies a strategic place in India’s foreign policy engagement with the continent.

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“The Government of India looks forward to Nigeria’s active participation at the meetings and in deepening cooperation between both countries in areas of trade, renewable energy, defence, industrialisation, agriculture, and technology.”

He further highlighted ongoing initiatives under the International Solar Alliance and Africa Solar Facility, including proposed renewable energy investments and enhanced developmental partnerships with Nigeria.

NAN

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Otti seeks partnership with NAADI to grow Abia’s agriculture, economy

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Governor Alex Otti has said the Abia State Government is ready to leverage the Nigeria Agribusiness and Agro-Industrial Development Initiative to grow the state’s economy and strengthen value addition across key agricultural sectors.

Otti stated this on Wednesday while receiving a delegation of the Nigeria Agribusiness and Agro-Industrial Development Initiative, led by its Director, Felix Charles, at the Government House in Umuahia.

The governor said the initiative aligns with his administration’s economic agenda and pledged the readiness of his team to work closely with NAADI.

“We are already looking forward to taking advantage of this,” Otti said.

“I believe that as you sit down with my team, we will begin to unveil the details and know how to work with you to take full advantage of this initiative that you brought.

“One thing I can assure you is that my team is very ready,” he added.

Otti noted that many of the objectives of NAADI were already reflected in his campaign promises and development plans for the state.

“If you have a look at our manifesto and my promise to our people here, you will find that a lot of the things that NAADI targets to achieve have been documented in the manifesto.

“So, I want to thank you very much for your visit and thank you for considering us as a beneficiary,” the governor stated.

He further stressed that countries and states cannot achieve meaningful economic growth by relying solely on the production of raw materials without processing and industrialisation.

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According to him, Abia is richly endowed in palm oil, cassava, cocoa, cashew nuts, rubber, leather works, and fabrics, but said the products would add little economic value if they were not processed beyond subsistence production.

Earlier, Charles described NAADI as a Federal Government initiative aimed at promoting agricultural participation, strengthening agro-processing value chains, and improving access to international markets.

He disclosed that the programme had already been established in eight states, adding that Abia would become the ninth state to domesticate and launch the initiative.

Charles also commended Otti’s developmental projects and assured the state government of NAADI’s commitment to partnership.

According to him, Abia would benefit from key pillars of the initiative, including bridging capacity gaps, promoting agribusiness, improving market access, and addressing funding constraints.

The meeting was attended by Deputy Governor Ikechukwu Emetu, Chief of Staff Caleb Ajagba, Commissioner for Trade and Commerce Salome Obiukwu, Special Adviser on Trade and Commerce Nwaka Inem, and other senior government officials.

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Domestic refiners dump $3.13bn crude over pricing disputes

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Domestic refiners in Nigeria left an estimated $3.13bn worth of crude oil unlifted in the first quarter of 2026, highlighting deepening inefficiencies in the country’s crude supply framework.

Analysis of data released by the Nigerian Upstream Petroleum Regulatory Commission by our correspondent on Wednesday showed that while crude producers made significant volumes available under the Domestic Crude Supply Obligation, refiners were unable to take delivery of a large portion due to persistent commercial and structural challenges.

The latest data showed a significant mismatch between crude availability and actual refinery offtake, despite regulatory efforts to deepen domestic refining. The figures indicate that producers collectively made available 68.7 million barrels of crude between January and March, far above allocated requirements, yet refiners struggled to convert the offers into actual deliveries.

This translates to a weak conversion rate of about 36–46 per cent, underscoring persistent structural and commercial bottlenecks in the domestic crude supply chain. Findings showed that the total gap between crude offered and actual refinery offtake stood at 40.3 million barrels in the three-month period, with the shortfall valued at about $3.13bn using conservative average prices.

Figures released by the commission indicated that while 61.9 million barrels were allocated to domestic refiners during the period, oil producers collectively offered 68.7 million barrels.

However, actual deliveries lagged significantly, with refiners lifting just 28.5 million barrels, indicating that crude producers supplied local refineries with less than half of the volumes allocated under the country’s domestic ‌crude supply rules.

The development underscores a persistent gap between crude availability and actual refinery intake, raising fresh concerns over feedstock adequacy for Nigeria’s refining ambitions.

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In the press statement earlier issued by the commission, the NUPRC Head of Media and Corporate Communications, Eniola Akinkuotu, said the data reflected ongoing efforts to enforce the Domestic Crude Supply Obligation in line with the Petroleum Industry Act.

The statement read, “The Nigerian Upstream Petroleum Regulatory Commission has released the statistics on the enforcement of the Domestic Crude Supply Obligation in accordance with the provisions of the Petroleum Industry Act.

“A summary of the monthly allocation shows that 61.9 million barrels of crude oil were allocated to domestic refineries during the quarter, while producers collectively offered a higher volume of 68.7 million barrels. However, actual supply to local refineries was 28.5 million barrels, translating to a supply conversion rate of 36-46 per cent as of the end of the first quarter 2026.”

A breakdown of the value of rejected crude revealed that in January, producers offered 25.3 million barrels, but refiners lifted only 9.2 million barrels, leaving a shortfall of 16.1 million barrels valued at approximately $1.09bn.

In February, out of the 19.8 million barrels offered, refiners took 9.1 million barrels, resulting in a gap of 10.7 million barrels worth about $749m. Similarly, in March, refiners lifted 10.1 million barrels from the 23.6 million barrels offered, leaving 13.5 million barrels unutilised, with an estimated value of $1.28bn.

The data underscores a persistent disconnect between crude supply and refinery demand, despite regulatory efforts to prioritise local refining under the Petroleum Industry Act, 2021.

The NUPRC has attributed the shortfall to pricing disputes, crude grade mismatches, and the “willing buyer, willing seller” framework, which leaves transactions subject to commercial negotiations rather than strict enforcement.

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Experts say the situation has continued to limit refinery utilisation and slow Nigeria’s drive towards energy self-sufficiency, even as investments in refining capacity, led by the Dangote Petroleum Refinery and several modular plants, gather momentum.

The Domestic Crude Supply Obligation was introduced to ensure that local refineries have adequate access to feedstock and to reduce dependence on imported petroleum products.

However, the latest figures suggest that implementation challenges persist, with large volumes of crude remaining unlifted despite apparent availability. Operators have repeatedly called for reforms, including the introduction of a domestic pricing benchmark and improved alignment between crude grades supplied and refinery configurations.

The development comes at a time when Nigeria is seeking to ramp up local refining capacity and conserve foreign exchange, raising fresh concerns over whether current supply frameworks can support the country’s long-term energy security goals.

Commenting, the Crude Oil Refiners Association of Nigeria has attributed the growing reliance of the Dangote Petroleum Refinery on imported crude to commercial pricing structures and crude grade differentials in the domestic market.

Speaking in an interview with our correspondent, CORAN Publicity Secretary, Eche Idoko, said the refinery’s preference for imported crude is largely driven by economics and product compatibility rather than lack of demand for local supply.

He explained that Nigerian producers predominantly sell Brent-linked crude at a premium, while the refinery often imports West Texas Intermediate crude, which better aligns with its operational configuration.

Idoko said, “So one of the major issues we are having with Dangote buying more crude from the U.S is because of the type of products offered and the pricing. It is based on commercials. So producers sell more Brent crude at a premium, but the import from other countries is WTI, another grade that is utilised by the refinery.”

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He argued that the current pricing framework places domestic refiners at a disadvantage compared to international sourcing options, particularly in terms of competitiveness and risk exposure. According to him, a more tailored pricing mechanism is needed to reflect Nigeria’s local refining realities and reduce reliance on external markets.

Idoko said, “All we have said is that for local refineries, in Nigeria, as they do in other climes, why can’t we have a pricing index that reflects our peculiarity, and we don’t have to face the international insurance risk. Dangote goes out to buy more crude from other countries because of the Brent and premium pricing template by local producers.”

He stressed that aligning crude pricing to domestic refining needs could help strengthen local supply chains and reduce the growing dependence on imported feedstock.

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