The Federal Government has confirmed plans to execute thirty per cent of the 2025 capital budget before the end of November 2026, as part of efforts to accelerate project delivery and settle pending obligations across Ministries, Departments and Agencies.
The directive was issued during a stakeholders’ meeting at the Federal Ministry of Finance in Abuja, where the Minister of State for Finance, Doris Uzoka-Anite, emphasised strict adherence to the Public Procurement Act in processing and paying for capital projects under the extended 2025 budget framework.
According to a statement released by the Office of the Accountant-General of the Federation, all MDAs have been instructed to ensure that capital disbursements follow due process and approved procurement procedures. The minister stressed that no capital project should be executed without confirmed cash backing.
She further assured stakeholders that the government has adequate liquidity to settle outstanding obligations and urged agencies to update documentation to facilitate faster payment processing.
Treasury Implementation and GIFMIS Restoration
The Accountant-General of the Federation, Shamseldeen Ogunjimi, disclosed that the Government Integrated Financial Management Information System has been fully restored, allowing smoother fiscal operations.
He confirmed that warrants have already been issued to MDAs and announced that implementation of the thirty per cent portion of the 2025 capital budget will commence immediately. The remaining seventy per cent has been rolled into the 2026 capital budget to ensure continuity of ongoing projects, in line with directives from Bola Tinubu.
Shift in Budget Execution Strategy
The move formalises an earlier decision to restructure capital spending across fiscal years. Rather than adopting the traditional rollover model, the administration opted to defer a substantial share of the 2025 capital allocation into the 2026 framework to manage fiscal pressures and prioritise completion of existing projects.
Earlier budget documents showed that while over ₦18 trillion was appropriated for capital expenditure in 2025, actual releases to MDAs within the first seven months were significantly below pro rata benchmarks. The funding gap contributed to concerns among ministers overseeing key infrastructure and service-delivery agencies.
Under the revised execution plan, the thirty per cent component of the 2025 allocation will now be implemented within the current fiscal window, while the bulk of the allocation forms part of the 2026 capital structure.
Compliance Warning to MDAs
In his remarks, the Director of Funds at the Ministry of Finance, Steve Ehikhamenor, cautioned agencies against exceeding approved allocations. He advised strict compliance with warrant limits, prompt return of unutilised funds to the Treasury, and close coordination with GIFMIS officials for technical support.
The new directive underscores the administration’s focus on fiscal discipline, procurement compliance, and improved capital project implementation amid revenue constraints and rising expenditure pressures.
With warrants issued and financial systems restored, the coming months will test the government’s ability to translate budgetary allocations into measurable infrastructure and service-delivery outcomes before the November 2026 deadline.
