The House of Representatives has passed the Federal Government’s N58.47 trillion 2026 appropriation bill for second reading, clearing a key legislative hurdle in the budget consideration process.
The money bill scaled second reading during Thursday’s plenary after the House reconvened from over 30 minutes of executive session. The motion for its consideration was moved by the Majority Leader, Julius Ihonvbere, who represents Owan Federal Constituency.
Presenting the general principles of the budget, Ihonvbere described the 2026 appropriation as part of a long and difficult journey towards peace, growth, stability and sustainable development. He said true development must be sustainable, stressing that temporary progress does not amount to real development.
According to him, economic growth is often challenging and painful, particularly in a country that inherited distorted political, social and economic structures, adding that the task of restructuring and repositioning Nigeria would never be painless.
Ihonvbere noted that the current administration did not inherit a new set of citizens but was working with the same Nigerians and institutions shaped by previous governments. He urged lawmakers to place themselves in the position of those managing the economy, while emphasising the National Assembly’s responsibility to guide the executive and ensure accountability.
The majority leader highlighted President Bola Tinubu’s recent foreign engagements, including a visit to Turkey, which he described as a strong economic partner. He said the naira had remained relatively stable, noting that the exchange rate had dropped from over N1,800 to about N1,400, and added that the President had not printed money since assuming office.
He further stated that Nigeria’s external reserves had risen to about $46 billion, sufficient to cover more than 10 months of imports, noting that these indicators provided the economic background to the 2026 budget.
Ihonvbere outlined key commitments of the administration, including improved budget discipline, stronger revenue performance, better tax administration, blockage of financial leakages, consolidation of macroeconomic stability, improvement of the business environment, human capital development and effective debt management. He said both the executive and legislature were committed to implementing these goals in the interest of Nigerians.
Describing the budget as a statement of promises and expectations, Ihonvbere said it reflected the government’s vision of building a social, political, economic and cultural environment that would enable Nigerians to reach their full potential, while prioritising the welfare and security of women and children.
Following his presentation, Speaker of the House, Tajudeen Abbas, called for a voice vote, with the “ayes” clearly outweighing the “nays.” The bill was subsequently passed for second reading without debate or opposition.
President Tinubu had presented the 2026 budget to a joint session of the National Assembly on December 19, while the Senate passed the bill for second reading on December 23.
A breakdown of the proposed N58,472,628,944,759 budget shows that N4.09 trillion is earmarked for statutory transfers, while N15.9 trillion is allocated to debt servicing. Recurrent non-debt expenditure is estimated at N15.25 trillion, covering the routine running costs of government, while N23.21 trillion is set aside for capital expenditure under the development fund.
Earlier, on December 18, the House passed the 2026–2028 Medium-Term Expenditure Framework and Fiscal Strategy Paper, endorsing crude oil benchmark prices of $64.85, $64.3 and $65.5 per barrel for 2026, 2027 and 2028, respectively. However, the Senate approved a downward review of the 2026 benchmark to $60 per barrel.
The House retained projected domestic crude oil production levels of 1.84 million, 1.88 million and 1.92 million barrels per day for 2026, 2027 and 2028, respectively. Lawmakers also approved projected exchange rates of N1,512, N1,432.15 and N1,383.18 for the same period.
Inflation rate projections of 16.5 per cent, 13 per cent and 9 per cent were adopted for 2026, 2027 and 2028, respectively, alongside GDP growth rate projections of 4.68 per cent, 5.96 per cent and 7.9 per cent, driven largely by anticipated gains from tax reforms.