2026 budget: FG reduces regional devt ministry’s allocation to N27.23bn
2026 budget: FG reduces regional devt ministry’s allocation to N27.23bn
The federal government has reduced the budgetary allocation to the Ministry of Regional Development to N27.23 billion in the 2026 fiscal year, marking a decline from the N29.32 billion appropriated in 2025 for the former Federal Ministry of Niger Delta Affairs before its restructuring.
A breakdown of the 2026 proposal shows notable shifts in spending priorities following the transition from the Niger Delta–focused ministry to a broader regional development mandate.
For 2026, the Ministry of Regional Development is allocated a total of N27, 229,920,438, representing a drop of about N2.09 billion compared to the 2025 provision. Personnel costs stand at N3.14 billion, slightly lower than the N3.17 billion provided in 2025.
Overhead expenditure, however, rose sharply to N6.67 billion in 2026 from N1.67 billion in the previous year, indicating higher administrative and operational costs under the new structure.
In contrast, capital expenditure recorded a significant reduction.
The ministry is allocated N17.42 billion for capital projects in 2026, down from N24.48 billion earmarked for capital spending in 2025 when the ministry operated as the Federal Ministry of Niger Delta Affairs.
Analysts note that while the overall budget size has shrunk, the most striking change lies in the rebalancing of expenditure, with capital spending taking a hit as overhead costs expand.
