morgANABLE politics/Governance
At the Senate, lawmakers approved the extension following the passage of a bill sponsored by the Senate Leader, Opeyemi Bamidele, after a clause-by-clause consideration.
KaNo—
The National Assembly on Tuesday approved another extension of the implementation of the capital component of the 2025 Appropriation Act, shifting the deadline from September 30 to December 31, 2026.
The move aimed to enable Ministries, Departments, and Agencies to complete ongoing projects and fully utilise the released funds.
The decision, taken separately by the Senate and the House of Representatives during plenary, marks the fourth extension of the lifespan of the 2025 capital budget, which was originally scheduled to expire on December 31, 2025.
At the Senate, lawmakers approved the extension following the passage of a bill sponsored by the Senate Leader, Opeyemi Bamidele, after a clause-by-clause consideration.
The bill seeks to amend the 2025 Appropriation Act by extending the implementation period of its capital component by an additional three months.
Leading the debate, Bamidele explained that the amendment had become necessary due to the slow pace of implementation of capital projects, despite the release of funds to MDAs.
According to him, the bill titled, “A Bill for an Act to Amend the Appropriations (Repeal and Enactment) Act 2025 to Extend the Implementation of the Capital Aspect of the Appropriations (Repeal and Enactment) Act 2025 from September 30, 2026 to December 31, 2026 and for other Related Matters, 2026,” was intended to ensure that ongoing projects were not abandoned.
He noted that many capital projects captured in the 2025 budget were yet to reach completion stages, adding that extending the timeline would enable the government to derive value from already committed public funds.
Similarly, at the House of Representatives, members approved the extension following a motion moved by the House Leader, Julius Ihonvbere. The resolution was adopted without significant opposition, reflecting a consensus among lawmakers on the need to sustain ongoing capital projects.
With the latest development, the implementation period of the 2025 capital budget has now been extended by a full year beyond its original deadline, raising concerns about the persistence of overlapping budget cycles.
The National Assembly had earlier extended the implementation period from March 31 to June 30, 2026, and subsequently to September 30, 2026, citing similar reasons of incomplete projects and the need to optimise public expenditure.
The repeated extensions come against the backdrop of the Federal Government’s earlier commitment to end the practice of running multiple budgets simultaneously. While presenting the 2026 Appropriation Bill in December 2025, President Bola Tinubu had assured Nigerians that the government would transition to a single budget cycle to improve fiscal discipline and efficiency.
However, the continued rollover of the 2025 capital budget suggests ongoing challenges in budget execution, particularly in the delivery of infrastructure and other capital-intensive projects.
Officials of the executive arm had previously defended the extensions, arguing that they were necessary to consolidate ongoing works and improve project completion rates. In April, the Presidency stated that extending the budget would help MDAs maximise value for public expenditure and avoid the waste associated with abandoned projects.
The Senate’s approval of the latest extension came on the first day of its resumed plenary after an extended legislative recess. Lawmakers had delayed their resumption from September 15 to September 29 to allow for the completion of rehabilitation works in the legislative chambers.
Despite the justification offered by the National Assembly and the executive, the decision has attracted criticism from opposition voices, who argue that the repeated extensions reflect deeper fiscal and governance challenges.
The Democratic and Leadership Alliance, in a statement issued on Wednesday, expressed concern over what it described as a pattern of poor budget implementation and weak fiscal management.
The Head of Media and Publicity of the DLA National Campaign Council, Dr Tosin Odeyemi, criticised the extension, noting that it was the fourth time the implementation period of the same budget had been prolonged.
He argued that the development signaled a worsening fiscal situation and raised questions about the government’s capacity to effectively manage public finances.
“We are more concerned that this is the fourth time the implementation of this same budget has been extended and with the latest one, it shows that the administration has continued to fail Nigerians in even the most basic metric of governance,” Odeyemi said.
He further warned that the continued rollover of capital expenditure could complicate future budgets, particularly the 2026 fiscal plan, and lead to a backlog of uncompleted projects.
According to him, the situation could result in the transfer of a significant portion of capital allocations into subsequent budget cycles, thereby perpetuating the practice of running multiple budgets concurrently.
“The looming fiscal and economic crisis this administration is inviting shows that over N35tn, which is the capital component of the 2026 budget, will be moved to 2027, thereby continuing this process of running a minimum of two budgets at a time,” he added.
Odeyemi also called on Nigerians to demand greater accountability from the Federal Government, questioning the utilisation of funds allocated in previous budgets.
He criticised the administration for urging citizens to hold state governors accountable for increased allocations following the removal of fuel subsidy, while allegedly failing to provide adequate transparency on federal spending.
The DLA spokesman further questioned the government’s fiscal management approach, arguing that the repeated extensions pointed to structural inefficiencies in budget planning and execution.
He urged voters to take the issue into consideration ahead of the 2027 general elections, warning that continued fiscal mismanagement could have long-term consequences for the country’s economic stability.
Observers say the extension highlights persistent bottlenecks in Nigeria’s public finance system, including procurement delays, revenue shortfalls and institutional inefficiencies that hinder timely project execution.
They note that while extending budget timelines may help prevent project abandonment, it also underscores the need for reforms to improve budget credibility, planning and monitoring.
As the bill awaits presidential assent, the 2025 capital budget is now set to remain active until December 31, 2026, giving MDAs an additional three months to complete projects and utilise allocated funds.
