The Senate has passed the 2026–2028 Medium-Term Expenditure Framework (MTEF) and Fiscal Strategy Paper (FSP), clearing the way for President Bola Ahmed Tinubu to present the 2026 Appropriation Bill, estimated at N54.4 trillion, later this week.
The approval followed weeks of scrutiny by the Joint Committees on Finance, National Planning and Appropriations, amid concerns by lawmakers over revenue performance and unresolved issues from previous budgets.
The delay in passing the MTEF/FSP was largely attributed to weak revenue outturns in the 2025 fiscal year, which senators said raised questions about the credibility of the assumptions underpinning the 2026–2028 framework. Government officials had disclosed that actual revenue realised in 2025 fell significantly below projections, forcing the rollover of a substantial portion of capital projects into 2026.
Lawmakers also raised concerns over the growing practice of managing multiple unimplemented budgets within a single fiscal year, warning that repeated rollovers distort fiscal planning and undermine budget discipline.
In addition, the Senate Committee on Finance delayed final approval while seeking detailed reports on the performance of the 2024 and 2025 budgets and engaging revenue-generating agencies, including the Federal Inland Revenue Service, on the feasibility of higher revenue targets proposed for 2026.
Despite the reservations, the Senate resolved to approve the framework to avoid further setbacks to the 2026 budget process. Senate President Godswill Akpabio said the passage of the MTEF/FSP was necessary to enable the executive to formally present the appropriation bill and allow legislative consideration to proceed.
The MTEF/FSP sets the fiscal parameters for the 2026 budget, including revenue projections, expenditure ceilings, deficit financing and debt strategy, and serves as the legal basis for the annual Appropriation Act.
President Tinubu is expected to present the 2026 Appropriation Bill before a joint session of the National Assembly later this week, after which budget defence by ministries, departments and agencies will commence.
