Many of Nigeria’s 36 states are reeling out huge budgetary provisions in hundreds of billions, and some have even dared the trillions naira mark, squaring up with the central government with their budget projections. The question on everyone’s lips is how these budgetary provisions will translate to better life and improved standards of living for Nigerians, writes Group Business Editor, SIMEON EBULU with additional reports from the states.

Budgetary provisions of most states this year, have assumed a certain ascendancy, expectedly so, given that Federal Allocations have equally been on the increase since the advent of the present administration.

Some of the states, notably, Lagos, Rivers, Ogun and Niger have even crossed over to the trillions trajectory. In the past, the trillions budget trade mark was originally the preserve of the Federal Government. Rivers State for instance, has posted a N1.189 trillion budgetary provision for 2025, while Lagos (not a new entrant though), has edged its own higher to N3.005 trillion for the 2025 fiscal year. Ogun State has stepped into this coveted group with its N1.055 trillion budget outing, as well as Niger State saying bye-bye to the billions class with its entry into the trillion naira category with N1.5 trillion, beating Rivers and Ogun states to it.

The budget figures for the 36 states, as presented by the governors, have shown remarkable appreciation compared to what most of them posted in 2024 and the years before.

If the observed increases are sustained, clearly as the trend suggests, it won’t be long before other states start declaring their annual budgetary provisions in trillions, and hopefully there won’t be confusion in presenting the figures to the public.

Put together, the amount of resources now available at the states, to be modest, is quite revealing. The states, most of them that is, are parading budgets in excess of half a trillion naira yearly. Given that development (whether physical, or human capital), is driven by resources, equitably applied, or deployed, the expectation and the call from many quarters that the states should take their place in moving the country forward, cannot be misplaced. In fact, it bears emphasis. The synergy and milestone that a conscious and meticulous deployment of a percentage of these resources can bring to bear on the development of the nation, be it roads construction, primary health care services provision, education at whatever level, name it. The cumulative impact of these financial resources, if equitably and steadfastly deployed, bearing in mind the geographical contiguity of the country, cannot be underestimated.

From year-to-year, in ascending order, humongous financial, material and human resources are pushed and deployed to the states in forms of federally allocated revenues, grants from foreign nations including notable Foundations, in addition to Internally Generated Revenues (IGR). What has become of these resources over the years, is the resounding question on every one’s lips. But if you ask me, na who I go ask!!!

How they stand.

Lagos State

Governor Babajide Sanwo-Olu of Lagos State has presented and equally signed a ₦3.005 trillion budget for the year, 2025.

Tagged the “Budget of Sustainability,” it seeks to focus on capital projects aimed at driving economic growth and development.

A breakdown of the budget showed that ₦1.7 trillion is assigned for Capital Expenditure, while N1.2 trillion is for the Recurrent provisions.

“Total revenue comprises our Internally Generated Revenue of  ₦1,970,897,000,000, and total Federal Transfers of  ₦626,137,000,000,” the governor said.

”  This 2025 budget, aptly themed the “Budget of Sustainability,” is not just a fiscal document, but a blueprint for continuity, resilience, and shared prosperity for every Lagosian. As the heartbeat of Nigeria and the economic hub of Africa, Lagos stands at a crossroads, confronted by a nexus of challenges that test our resolve and of opportunities that call for bold action, he stated.

 In crafting this budget, Sanyo-Olu said, “we have listened to your voices, studied global and local economic realities, and reaffirmed our commitment to ensuring that Lagos continues to thrive sustainably for generations to come.”

 The ‘Budget of Sustainability ‘ embodies the values that have always defined us as Lagosians: resilience, innovation, inclusivity and sustainability. It speaks to our vision of balancing the pressing needs of today with the undeniable responsibility of securing the future.

This budget is structured around five key pillars designed to ensure economic stability, environmental stewardship, and social equity.

The budget , he said will focus on  : Infrastructure Sustainability,  Economic Diversification,  Social Inclusion and Human Capital Development,  Environmental Sustainability as well as  Governance and Institutional Reforms.

The Governor said : ”  It will focus on continuous investments in infrastructure are the backbone of our development agenda. The Greater Lagos we envision will emerge on the back of high-quality infrastructure that keeps pace with population growth. Our focus is therefore on ensuring the durability, functionality, and adaptability of our physical assets to meet the ever-growing demands of our people.”

In the coming fiscal year, we will be prioritizing the maintenance, upgrade and expansion of existing road networks, bridges, rail systems and drainage infrastructure, to enhance mobility and to mitigate the impact of climate change. Digital infrastructure is not left out, in line with our vision for a truly 21st century megacity.

Rivers State

Rivers State for instance, in its budget, themed: ‘Budget of Inclusive Growth and Development’, posted an estimated total budgetary provision of N1.189 trillion. The breakdown as enunciated by the Governor, Siminalayi Fubara, included Capital Expenditure of N678.088 billion, and Recurrent Expenditure of N462.254billion. The breakdown implied a higher commitment to capital expenditure, as against the 44.56 per cent to recurrent-capital expenditures.

The N1.189 trillion budget was premised on some national assumptions and state’s expectations. These include oil price benchmark of $80 per barrel, oil production rate of 1.8 million barrels per day, exchange rate of N1,500 per dollar, inflation rate of 22 per cent, State GDP growth rate of 3.18 per cent and increase in internally generated revenue (IGR) to not less than 35 per cent of the total budget. The state plans to increase internal tax base by bringing more people into the tax net.

In financing the 2025 budget, the government expects to source N264.369 billion from IGR, statutory allocation, N18.203 billion; mineral funds, N132.173 billion; Value Added Tax, N204.262 billion; Refunds Escrow, Paris/ECA, N31.200 billion; refunds from bank charges, N27.500 billion; excess crude account, N20.600 billion; exchange rate gain, N25.244 billion; forex equalization, N50 billion; other FAAC, N50 billion; asset sales, N25 billion; capital receipts, N9.880 billion; proposed internal grants, N60.080 billion; proposed external grants, N7.522 billion; proposed loans and bonds, N250 billion and prior year balance of N12.931 billion.

Out of the N678.088 billion allocated for capital expenditures, nearly one-third or N213.586 billion was allocated to “governance” while infrastructure received the highest specific allocation of N195.075 billion. Agriculture was allocated N30.954 billion. Other major allocations included education, N63.275 billion and health, which was allocated N97.751 billion.

Fubara outlined the core priorities for the 2025 fiscal year to include agriculture, economic growth, quality education and healthcare delivery, basic infrastructure, and social investments. However, allocation to agriculture represented 4.6 per cent of capital budget and 2.6 per cent of total budget, allocation to health was 9.0 per cent of capital expenditures while health received 14.45 per cent of capital estimates.

He said the N213 billion under “governance” would be used “for the provision of effective governance, public administration, social investments, and the security of lives and property for the 2025 fiscal year”.The N213 billion would enable the government to execute its mandates on public governance and deliver the dividends of democracy through purposeful and highly impactful social policies, programmes and projects in the most efficient, effective and sustainable manner, he stated.

Akwa Ibom

Akwa Ibom State’s N955 billion 2025 Budget christened “Budget of Consolidation and Expansion” is anchored on Governor Umo Eno’s ARISE Agenda.  Part of the objective of the 2025 Budget is  food security through substantial investment I n the agricultural revolution, rural development through robust inputs in modern living facilities, consolidation, maintenance and advancement of world-class infrastructure in the state.

The 2025 Budget is predicated on an oil benchmark of $75 per barrel at a daily production rate of 2.12 million barrels with an estimated exchange rate of N1,400 per dollar, in line with the national budget benchmark projections.

The total budget size of N955 billion represent a modest increase of three per cent on the 2024 revised budget of N923.46 billion. The main budget components include recurrent expenditure of N300 billion and capital expenditure of N655 billion. The total projected recurrent expenditure for 2025 is put at N830 billion as against the proposed revised provision of N803.703 billion for 2024.

The breakdown of expected inflows include Internally Generated Revenue (IGR )of N80 billion, statutory revenue, N20 billion; derivation revenue, N135 billion, 13 per cent derivative revenue arrears, N60 billion; exchange gain, augmentation and others, N455 billion; excess crude account, N5 billion; Value Added Tax (VAT), N70 billion and ecological fund of N5 billion.

For recurrent expenditure, incorporating personnel cost is estimated at N115.7 billion, while overhead cost would gulp N184.31 billion. On the other hand, total projected capital receipts showed that N530 billion would be transferred from the Consolidated Revenue Fund, while the balance of N125 billion consisted mainly of N100 billion opening balance from 2024 account.

The sectoral allocation in the budget suggests that 59 per cent or N564.4 billion would be spent on the economic sector, N215.86 billion or 22.6 per cent on the administrative sector, 2.2 per cent or N21.39 billion on law and justice sector and N152.33 billion or 16 per cent on social sector.

Cross River State

Cross River State’s N538.52 billion 2025 Budget, which came into force on January 01, 2025, consisted of recurrent expenditures of N202.61 billion, capital expenditures of N333.34 billion and statutory votes of N2.567 billion. The highest allocations under the recurrent expenditures were to debt management department, N 50 billion; Office of Accountant General, N36.2 billion and special services department, with N10.72 billion. In capital expenditures, highest allocations were to Ministries of Work and Infrastructure, Aviation, Education and Health at N99.63 billion, N16 billion, N9.56 billion and N16.8 billion respectively.

Ekiti State

Ekiti State’s N375.790 billion 2025 Budget focused on the state’s shared prosperity agenda, which was built on six pillars of governance, youth development and job creation, human capital development, agriculture and rural development, infrastructure and industrialization and arts, culture and tourism.

Expected revenue sources included Federal Allocation of N168.15 billion or 44.7 per cent of total budget size, Value Added Tax (VAT) of N54.92 billion or 14.6 per cent of budget size, IGR of 29.1 billion or 7.7 per cent of budget size, external grants of N79.51 billion or 21.2 per cent of budget and loan of N25 billion or 6.7 per cent of total budget size.

The breakdown of the budget included recurrent expenditures of N192.33 billion or 51 per cent of total budget and capital expenditures of N183.46 billion, about 49 per cent of total budget. Personnel cost of N60.88 billion or 16 per cent of recurrent budget was the highest under recurrent expenditures, followed by grants and subsidies, which were expected to close at N36.44 billion or 10 per cent of the budget.  A total of N138.18 billion of the capital budget is allocated to the economic sector, followed by social sector with 14 per cent or N26.49 billion. Administrative sector and law and justice sector received N14.13 billion or 8.0 per cent and N4.6 billion or 3.0 per cent respectively.

The 2025 budget, christened “Budget of Sustainable Impact”, focused on the economic sector, which included agriculture and food security, rural development, small and medium enterprises (SMEs), social investments programmes, arts, culture and tourism and infrastructure. Governor Biodun Oyebanji explained that the allocation of the highest allocation to the economic sector was because it plays a vital role owing to its capacity to engender sustainable growth and development. Some of the major projects to be executed under the economic sector included massive agricultural projects, completion of the 1km flyover bridge from Union Bank in Ajilosun to First Bank at Okeyinmi, Ado Ekiti, construction of rural and farm access roads and provision of potable water and sanitation facilities across the state and rural.

Adamawa’s 2025 budget

For the 2025 budget, the Adamawa State government puts its proposed spending at ₦486,218,047,600 towards the financing of both the recurrent and capital development programmes within the 2025 fiscal year. This represents over 100 per cent increase when compared to the 2024 budget of ₦225,893,690,626.00.

The Governor of Adamawa State, Ahmadu Umaru Fintiri, while presenting the budget on December 16, 2024, noted that this year’s budget is in line with the Medium-Term Expenditure Framework (MTEF) and Fiscal Strategy Paper (FSP). Out of the total Proposed Budget Estimate of ₦486,218,047,600, the sum of ₦137,256,217,610, which represents 28.23 per cent is earmarked for Recurrent services, while the balance of N348,961,829,990 which is 71.77 per cent of the total Projected Annual Budget is earmarked for Capital Development Programmes and services in the state.

A breakdown of the state’s budget in terms of expected revenue indicates that the state hopes to raise the following revenue thus: Statutory Allocation   of N53,000,000,000 or 10.9 per cent; Share of VAT, N91,000,000,000 or 18.7 per cent; excess non-oil N12,000,000,000 or 2.4 per cent; exchange rate gain, N50,000,000,000    or 10.3 per cent; Ecological /Flood funds, N10,632,000,000    or 2.2 per cent; Electronic money transfer   N3,500,000,000 or 0.7 per cent; State infrastructure & security , N42,000,000,000 or 8.6 per cent; Signature bonus, N60,000,000,000 or 12.3 per cent; Other FAAC distribution, N48,000,000,000 or 9.9 per cent; Independent revenue, N24,568,582,500 or 5.1 per cent and Capital receipts, N91,517,465,100 or 18.8 per cent.

In terms of budgetary allocations, the Ministry of Works and Energy Development tops the list with N88,887,728,830.00. This is  closely followed by Ministry of Education and Human Capital Development with N40,407,396,580.00 and the Office of the Accountant General, N25,877,656,320.00

The Ministry of Agriculture, with N12,695,312,040.00; Ministry of Health and Human Services, with N12,646,274,760.00 and Ministry of Rural Infrastructure & Community Development, with an allocation of N11,060,140,560.00 places as the last three ministries with the least allocations.

Ogun State

Ogun State is set to drive growth, infrastructure with N1.055 trillion budget for 2025

 Its total budget estimated at N1.055 trillion for the year 2025 will be channeled to building key infrastructure and supporting growth in key segments of the economy.

 The State Governor, Prince Dapo Abiodun, disclosed this during the budget presentation to the state House of Assembly, in Ogun State.

 He disclosed that the revenue composition includes an estimated N120.97 billion from the Ogun State Internal Revenue Service (OGIRS) and N193.85 billion from other Ministries, Departments, and Agencies (MDAs), totaling N314.82 billion. Statutory allocations from the Federal Government, including FAAC and VAT, are projected at N228.06 billion.

 He said: “We will continue to leverage existing statutes to enhance revenue transparency, broaden the base, and strengthen the State’s finances without imposing additional burdens on residents,” he stated.

 The Governor, explained that that expenditure policy for 2025 aligns with the Ogun State Economic Development Plan and Strategy (2021–2025), targeting fiscal sustainability, human development, food security, a favorable business environment, energy sufficiency, enhanced transport infrastructure, and industrialization with a focus on Small and Medium Enterprises (SMEs).

 “The 2025 budget represents a carefully designed strategic roadmap aimed at accelerating our development agenda. It is a manifestation of our shared vision for a prosperous Ogun State—a state where infrastructure, quality education, healthcare, security, and economic opportunities are accessible to all,” he said.

Bauchi State

With the passage of the N467 billion 2025 budget, tagged “Budget of Consolidation and Sustainable Development,” by the Bauchi State House of Assembly, the implementation of Governor Bala Mohammed’s ‘My Bauchi Project’, the strategic vision developed to guide his administration, is on course.

 This followed the governor’s November 21, 2024 proposed N465 billion appropriation bill to the assembly, which, according to Speaker Suleiman Abubakar, was jacked up by N2 billion, making it N467 billion which was then passed. Mohammed said the upward review of N2 billion was necessitated by the desire to ensure that services were delivered to the people.

 His words: “We look forward to implementing the 2025 budget for the next one year and are ever more committed to investing in the development of critical infrastructure needed to grow our economy. We will also pay special attention to develop the human capital resources of the state through prioritisation of education, healthcare delivery and provision of key social services.

 “This is in addition to a plan to promote agriculture production, improve commerce and attract investors.”

 In the 2025 fiscal year, N465b has been earmarked for capital and recurrent services. This comprises of recurrent expenditure of N183b, representing 39.3 per cent while capital expenditure gets N282b, which represents 60.7 per cent.

 The sum of N273b is estimated as recurrent revenue, made up of Internally Generated Revenue (IGR) of N50, 028b; Statutory Allocation N42, 030b; VAT N78, 500b; and FAAC Revenue N102, 500b.

 Bauchi State also projects to realize capital receipts in the sum of N172.441 billion in the following areas: Aids and Grants N27,629,353,172.00 and Bond N30,000,000,000.00.

Niger State

Niger State has unveiled a budget of N1.5 trillion for the current year, aimed at stimulating economic growth, which marks a substantial increase from the previous year’s budget of N805 billion. The budget for 2025 surpasses the 2024 appropriation by 48.3 percent. According to Governor Mohammed Umaru Bago, the budget allocates over N196 billion for recurrent expenditure and more than N1.3 trillion for capital expenditure. The focus of this budget will be on critical economic sectors such as the security of lives and property, agriculture and food security, health, education, water and sanitation, infrastructure development, social security, and environmental sustainability. The State Government anticipates a revenue of N1,558,887,565,358.00 to facilitate these objectives

The allocations include N53,400,000,000.00 as Statutory Allocation; N85,300,555,454.00 from Value Added Tax; N236,900,000,000.00 from other Federation Account Allocation Committee (FAAC) Receipts; N63,360,000,000.00 from Internally Generated Revenue (IGR); N186,368,241,948.00 from supplementary IGR; and N933,558,767,956.00 from capital receipts. The capital receipts consist of N493,496,681,728.00 in loans and N440,062,086,228.00 in grants.

The proposed recurrent expenditure amounts to N196 billion, which includes N72,276,458,552.00 allocated for Personnel Costs, N51,106,010,146.00 designated for Overhead Costs, and N72,952,892,745.00 for charges under the Consolidated Revenue Fund. In addition, the capital expenditure comprises N27,611,200,002.00 for Administrative purposes, N1,362,552,203,915.00 for Economic initiatives, N3,508,500,000.00 for Law and Justice, and N224,926,959,523.00 for the Social Sector.

Imo State

 Imo State is targeting expanded economic opportunities with N755.6 billion  budget

 The Imo State Government has expressed its readiness to pursue expanded economic development of its domain with its budget estimates of N755,588,041, 220.

According to the budget speech presented by its Governor, Mr Hope Uzodinma to the State House of Assembly, the State intends to raise N42,577,065, 257 billion as internally generated revenue while it expects N293,154,121,949 billion from the Federal Accounts Allocation Committee (FAAC).

It expects  capital receipts around the neigbourhood of over N419, 856,584,014 billion.

A breakdown of the budget indicated that the Ministry of Works and Infrastructural Development will gulp 46 per cent amounting to over N296,461,152,778 billion followed by the Ministry of Transport allocated N101,010,000,000 billion representing 16 per cent.

The budget sectoral allocation has the Ministry of Power and Electrification gulping N74,755,497,042, representing 12 per cent.

The Ministry of Tourism, Hospitality is allocated N30,210,000,000, representing five per cent, whereas the Ministry of Health is allocated N22,933,234,000 billion, which is four per cent of the budget estimate.

Three point three per cent of the budget , amounting to over N21,130,000, 000 billion will cater to the needs of the Ministry of Environment and Sanitation.

The Ministry of Livestock Development as well as the Ministry of Agriculture and Food Security are allocated N20,000,000,000 billion and N12,011,958780 billion respectively, representing three and two per cent.

The Ministries  of Housing and Education are allocated the least with N7,865,000,000 billion and N7,420,000,000 billion representing one point two per cent and one per cent.

Uzodinma said the implementation of the budget will translate to making Imo State a viable economic and industrial entity with proper utilization of resources.