Tinubu Unveils N58.18 Trillion 2026 Budget, Declares Armed Groups as Terrorists

President Bola Ahmed Tinubu on Friday presented a ₦58.18 trillion 2026 Appropriation Bill to a joint session of the National Assembly, declaring that all armed non-state actors operating outside Government authority would henceforth be classified as terrorists.

The announcement comes as his administration moves to consolidate economic reforms and strengthen Nigeria’s security architecture.

The 2026 budget, themed “Budget of Consolidation, Renewed Resilience and Shared Prosperity,” is a central component of Tinubu’s reform agenda, designed to sustain macroeconomic stability, reinforce resilience, and ensure that economic recovery translates into tangible improvements in citizens’ living standards.

Addressing lawmakers, Tinubu highlighted key economic indicators, noting that Nigeria’s economy grew by 3.98 per cent in Q3 2025, up from 3.86 per cent in the same period in 2024.

He pointed out that headline inflation had declined for eight consecutive months, falling from 24.23 per cent in March 2025 to 14.45 per cent in November 2025. External reserves also rose to a seven-year high of approximately $47 billion, providing over ten months of import cover.

“These outcomes are not accidental,” Tinubu said. “They reflect difficult but deliberate policy choices. Our task now is to consolidate these gains so that stability becomes prosperity, and prosperity becomes shared prosperity.”

The Appropriation Bill projects a total revenue of ₦34.33 trillion against an estimated total expenditure of ₦58.18 trillion, indicating continued reliance on deficit financing to sustain growth and critical public spending.

Capital investment remains a priority, with ₦26.08 trillion allocated for infrastructure and development projects aimed at boosting productivity and long-term economic resilience.

Recurrent non-debt expenditure is pegged at ₦15.25 trillion, while debt servicing will consume ₦15.52 trillion, reflecting the fiscal burden of past borrowings. The budget records a deficit of ₦23.85 trillion, equivalent to 4.28 per cent of GDP.

Budget assumptions include a $64.85 per barrel oil benchmark, 1.84 million barrels per day production, and an exchange rate of ₦1,400/$. Tinubu assured lawmakers that borrowing would remain disciplined and tied strictly to projects delivering measurable public value.

He directed the Minister of Finance, Budget Office, Accountant-General, and heads of Government-Owned Enterprises (GOEs) to enforce strict budget discipline, warning that Nigeria “can no longer afford leakages, inefficiencies, or underperformance.”

The administration plans full digitisation of revenue mobilisation, including automated collections, real-time monitoring, and performance dashboards, with revenue targets directly tied to leadership evaluations.

Security received one of the largest allocations at ₦5.41 trillion, reflecting a decisive shift in Nigeria’s security strategy. Tinubu stated that any armed group or individual operating outside state authority—including bandits, militias, kidnappers, armed gangs, cult groups, forest-based armed collectives, and foreign mercenaries—will be treated as terrorists.

He further warned that financiers, ransom negotiators, informants, arms suppliers, transporters, political protectors, traditional rulers, and religious leaders who facilitate violent groups would also be designated as terrorists. “If you wield lethal weapons and act outside the authority of the Nigerian state, you are a terrorist,” he said.

The administration plans to establish a new national counter-terrorism doctrine based on unified command, intelligence-led operations, community stability, and judicial reforms.

Education received ₦3.52 trillion, while health was allocated ₦2.48 trillion. Tinubu highlighted the Nigerian Education Loan Fund, which has supported over 418,000 students across 229 tertiary institutions, and noted that healthcare spending now represents 6 per cent of the total budget (excluding liabilities). Nigeria also secured over $500 million in US grant funding for health interventions.

Infrastructure was allocated ₦3.56 trillion, with focus on transport, energy, ports, agriculture, and food security. Tinubu described food security as “national security,” pledging investment in mechanisation, irrigation, storage, processing, and agro-value chains.

Acknowledging that reforms had imposed hardships, Tinubu said Nigerians’ sacrifices were not in vain and pledged that 2026 would be a year of delivery. “The greatest budget is not the one we announce; it is the one we deliver,” he said.

He also promised improved revenue efficiency, better-targeted spending, and stricter accountability to ensure citizens can see and feel the impact of public expenditure.

Tinubu concluded by calling for continued cooperation between the Executive and Legislature, stressing that unity of purpose is essential to delivering the promises of the Renewed Hope Agenda. “With the resilience of the Nigerian people, we will build a more secure, competitive, and equitable Nigeria,” he said.