BudgIT, a leading budget transparency and accountability organisation, has raised alarm over widespread project fraud across Nigeria after uncovering 92 fraudulent projects nationwide.

The revelation is contained in BudgIT’s 2024/2025 Tracka Report, released on Thursday, which monitored the implementation of 2,760 government-funded projects across 28 states of the federation.

According to the report, the 92 projects were categorised as “fraudulent” due to diversion of funds, poor execution, relocation of projects without approval, and repeated budgetary allocations for projects already completed in previous cycles.

BudgIT explained that while 1,438 projects were completed, 99 were abandoned, 660 were ongoing, and 471 had not commenced despite funding, highlighting deep-rooted inefficiencies in Nigeria’s public expenditure system.

The organisation noted that Imo State recorded the highest number of fraudulent projects at 17.43 per cent, followed by Lagos with 12.73 per cent, Kwara at 11.76 per cent, Abia with 10.67 per cent, and Ogun at 8.33 per cent. Together, the five states accounted for over 57 per cent of all fraudulently delivered projects, involving about ₦8.61 billion out of the ₦15.07 billion allocated to such projects.

BudgIT said the Tracka initiative also carried out targeted monitoring of strategic infrastructure, including dam projects, revitalised primary healthcare centres, and federally funded projects in the Niger Delta, to assess their impact on national development.

In the dam sector, Tracka monitored 16 projects across 13 states valued at ₦432 million. The report found that none had been completed, with four abandoned, six progressing slowly, and six yet to commence despite receiving funds.

Similarly, 47 revitalised primary healthcare centres tracked across 25 states showed mixed results, with only 26 recording visible improvements, while others were either under renovation, untouched, or abandoned.

In the Niger Delta region, BudgIT tracked 48 federally funded projects across Akwa Ibom, Cross River, Delta, and Rivers states. While 29 projects were completed, 13 had not commenced, four were ongoing, and two could not be traced despite confirmed funding.

Commenting on the findings, Head of Tracka, Joshua Osiyemi, stressed that budgetary allocations alone do not guarantee development, calling for stronger citizen participation and government accountability.

He urged governments to publish detailed project data, improve supervision, ensure timely fund disbursement, and prioritise projects with real social impact. Osiyemi also encouraged citizens to actively monitor projects in their communities using civic platforms like Tracka to reduce corruption and improve service delivery.

Despite the challenges identified, the report highlighted 15 success stories driven by citizen engagement, including completed healthcare centres, school renovations, erosion control projects, disability empowerment programmes, and access to clean water in several states.

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According to Nancy Odimegwu, Senior Communications Associate at BudgIT, the issue of unauthorized or poorly justified budget entries has evolved into a systemic problem. “What began as sporadic anomalies has now become a deeply entrenched practice of manipulation, primarily driven by senior members of the National Assembly,” she said.

BudgIT’s analysis identified 238 large-scale projects, each valued above ₦5 billion and totaling ₦2.29 trillion, that were inserted without adequate justification. The report further pointed out 984 projects valued at ₦1.71 trillion and 1,119 others costing between ₦500 million and ₦1 billion (amounting to ₦641.38 billion) that were included arbitrarily.

“These insertions appear to be designed more for political patronage than for meaningful development,” Odimegwu said. “They reflect a misalignment with the country’s pressing needs and suggest a prioritization of personal or partisan interests over public welfare.”

Additional findings reveal that 3,573 of the flagged projects, worth ₦653.19 billion, were assigned to specific federal constituencies, while 1,972 projects valued at ₦444.04 billion were directed to senatorial districts.

BudgIT highlighted several striking patterns among the allocations:

1,477 streetlight projects totaling ₦393.29 billion

538 borehole projects worth ₦114.53 billion

2,122 ICT-related projects estimated at ₦505.79 billion

₦6.74 billion allocated for the “empowerment of traditional rulers”

Most notably, the Ministry of Agriculture’s capital budget was disproportionately affected, ballooning from ₦242.5 billion to ₦1.95 trillion due to 4,371 inserted projects—nearly 40% of all additions. Similar inflationary trends were observed in the Ministries of Science and Technology, and Budget and Economic Planning, which saw capital boosts of ₦994.98 billion and ₦1.1 trillion, respectively.

The report also criticized the practice of using certain institutions as conduits for politically driven projects, particularly the Nigerian Building and Road Research Institute in Lagos and the Federal Cooperative College in Oji River. These agencies, BudgIT claims, lack the infrastructure and expertise to implement the projects assigned to them.

“For example, the Federal Cooperative College, a training-focused institution, was allocated ₦3 billion for utility vehicles, ₦1.5 billion for rural electrification in Rivers State, and ₦1 billion for solar-powered streetlights in Enugu. These are clearly outside its functional scope,” the report stated.

Despite the scale and implications of these findings, BudgIT noted that the executive arm of government has yet to respond. The organization had previously launched the “Budget is a Mess” campaign in late 2024 to draw attention to these irregularities.

BudgIT’s Country Director, Gabriel Okeowo, called for urgent reforms to restore accountability in Nigeria’s budgeting framework. He warned that the unchecked influence of lawmakers in project allocation undermines development goals, erodes public trust, and leads to gross mismanagement of public resources.

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In a report released Tuesday, BudgIT raised concerns about the nature and scale of the insertions, stating that more than 11,000 projects were added with limited explanations, some of which lack alignment with national development goals.

The report highlights that 238 of the added projects each exceed N5 billion in value, while over 2,000 projects fall within the N600 million to N5 billion range. These projects include widespread provisions for streetlights, boreholes, and ICT infrastructure across federal constituencies and senatorial districts—many of which BudgIT flagged as repetitive or inflated.

According to BudgIT, “A total of 1,477 streetlight projects amounting to N393.29 billion, 538 borehole projects worth N114.53 billion, and over 2,100 ICT initiatives valued at N505.79 billion were inserted. An additional N6.74 billion was designated for traditional rulers’ empowerment, raising questions about fiscal prioritization.”

Agriculture Ministry Sees Sharp Budget Spike
A significant portion of the inserted projects, approximately 39%, was routed through the Ministry of Agriculture, increasing its capital allocation from N242.5 billion to nearly N2 trillion. Similar patterns were observed in the budgets of the ministries of science and technology, and budget and economic planning, which also saw substantial increases tied to inserted items.

BudgIT expressed concern that these inflated allocations could compromise efficiency and transparency. “The distortions not only impact budgeting discipline but also inflate the fiscal envelope for ministries, departments, and agencies beyond what is necessary,” the organization noted.

Projects Misaligned with Mandates
One of the most troubling findings in the report is the recurrent allocation of projects to agencies that lack the authority or capacity to implement them.

BudgIT cited examples such as the Federal College of Fisheries in New Bussa, Niger State, which reportedly spent close to N1 billion in 2024 on projects like vehicle and tricycle purchases for communities located outside its operational jurisdiction.

Likewise, institutions like the Nigerian Building and Road Research Institute and the Federal Cooperative College in Oji River were allocated projects far beyond their mandates, including road electrification and agricultural support programs. BudgIT warned that such practices often result in poor implementation, wasted funds, and minimal impact on intended beneficiaries.

A Call for Reform and Accountability
BudgIT emphasized that these patterns represent not just fiscal mismanagement but a deeper issue tied to equity, justice, and public accountability. The group urged President Tinubu to take a more active role in reforming the budget process and called on citizens, civil society, and the media to demand greater transparency and oversight.

“The budget must reflect the real needs of Nigerians, not political considerations. We urge the public to insist on reforms that restore trust and integrity in public finance,” the statement concluded.

BudgIT’s report comes amid ongoing debates over Nigeria’s fiscal planning, including concerns that the 2025 budget may exceed the country’s projected GDP capacity by trillions of naira. The organization reiterated its commitment to tracking budgetary performance and ensuring that public resources are used effectively.

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However, in dollar terms, the budget contracted by 23.22%, dropping from $36.7 billion in 2024 to $28.18 billion in 2025.

As the National Assembly begins the 2025 budget defence proposed by the executive, experts, civil society Organisations, and the private sector have expressed concerns over the 2024 budget performance, sectoral allocations, and the federal government’s 15% inflation projection for the 2025 fiscal year as unrealistic.

In a press release by BudgIT on Thursday, the civil society organisation questioned the Federal Government’s projection to reduce inflation by 15% in 2025 when the Federal Government has not created a clear road map for reducing food and fuel prices which are the main drivers of the Nigeria’s inflation.

“ The government’s inflation projection of 15% in the 2025 fiscal year appears grossly unrealistic, considering that inflation, which stood at 34.6% as of November 2024, has been driven not only by monetary factors such as exchange rate and money supply but also by the constant increase in food and energy prices, both of which the government has not created a clear road map in resolving in the short term.

BudgIT also cautioned the National Assembly against budgetary insertions given to MDAs that do not have the capacity or mandate to implement them, as this could derail the prioritisation of key areas in the budget. Many inserted projects usually lack proper conceptualization, design, and cost estimation, undermining their effectiveness and feasibility. The omission of budget line items by some government institutions and the omission of funding for the Lagos Calabar Coastal road were also highlighted.

“Also we have observed that the 2025 proposed budget breakdown submitted to the national assembly for review and approval and published on the Budget Office website omits the breakdown of some MDAs, commissions, and Councils, such as the National Judicial Council (N341.63 billion), and TETFUND (N940.05 billion).

“The budgets of over 60 government-owned (GOEs), including the Nigeria Ports Authority, Nigeria Customs Service, Nigerian Maritime Administration and Safety Agency (NIMASA), etc., were conspicuously absent from the 2025 proposed budget.

In the same vein, BudgIT also faulted the combined allocation of N2.49 trillion to five regional development commissions for personnel costs in total contrast to the current administration’s drive to reduce the cost of governance.

“Lumping development commission budgets under personnel costs raises concerns about transparency and accountability. It hinders proper scrutiny of how these funds are utilized and whether they effectively achieve their intended development objectives.

The budget is the single most important fiscal policy document of any government and as the National Assembly commences the 2025 budget defence, experts and civil society organisations have called on relevant stakeholders and Nigerians to continue to engage with relevant government agencies on the government fiscal and monetary policies as Nigerians eagerly await the passage of the 2025 budget by the National Assembly.

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