The Senate has defended the Federal Government’s N25.91 trillion budget deficit for the 2026 fiscal year, insisting that borrowing remains necessary to fund the proposed N58.47 trillion Appropriation Bill amid persistent revenue shortfalls.
Chairman of the Senate Committee on Appropriations, Senator Solomon Adeola, said attention should be placed on how deficits are financed and effectively utilised rather than the size of the deficit itself. He noted that with projected revenue of N33.19 trillion against total expenditure of N58.47 trillion, Nigeria must adopt stricter fiscal discipline, expand revenue sources and optimise public assets.
Adeola also stressed the need to end electricity subsidies, arguing that the move would free up critical resources for infrastructure and national development.
Speaking on the budget, President of the Senate, Godswill Akpabio, who was represented by Deputy Senate President Barau Jibrin, described the 2026 budget as a “moral test” for governance. He urged that budgetary allocations should translate into real and measurable improvements in the lives of Nigerians.
In separate remarks, Accountant General of the Federation, Shamseldeen Olujimi, and fiscal expert Dr. Olatilewa Adebajo called for impact-driven budgeting and strict enforcement of the Fiscal Responsibility Act. They emphasized that curbing revenue leakages and ensuring accountability would be key to improving the country’s fiscal health.
