The Federal Government has announced that only 30 per cent of the 2025 capital budget will be implemented before the end of November, with the remaining 70 per cent deferred into the 2026 capital framework.
The decision forms part of measures aimed at accelerating project execution while ensuring strict adherence to procurement regulations.
The directive was disclosed in a statement issued by the Office of the Accountant-General of the Federation, confirming that Ministries, Departments and Agencies (MDAs) must comply fully with the Public Procurement Act in executing capital projects under the extended 2025 fiscal cycle.
Strict Procurement Compliance Mandated
Minister of State for Finance, Mrs Doris Uzoka-Anite, delivered the directive during a stakeholders’ meeting at the Federal Ministry of Finance in Abuja. She stressed that capital disbursements must follow due process and be backed by available cash before execution.
According to the statement, no payment for capital projects will be processed outside approved procurement procedures. The Minister added that sufficient funds exist to clear outstanding obligations, urging MDAs to update documentation to facilitate faster processing.
Treasury Implementation to Begin
The Accountant-General of the Federation, Dr Shamseldeen Ogunjimi, confirmed that the Government Integrated Financial Management Information System (GIFMIS) has been fully restored.
He disclosed that warrants have already been issued to MDAs and that Treasury House will commence implementation of the 30 per cent component of the 2025 budget before the end of next week.
The restructuring follows earlier fiscal directives embedded in the 2026 Abridged Budget Call Circular, which required MDAs to migrate a substantial portion of 2025 capital allocations into the 2026 fiscal structure to prioritise project completion and manage revenue constraints.
Budget performance data indicates that although N18.53 trillion was appropriated for capital expenditure in 2025, actual releases between January and July stood at N834.80 billion against a pro rata benchmark of N10.81 trillion — reflecting a 7.72 per cent performance rate.
The policy effectively realigns capital execution timelines, consolidating spending within the 2026 fiscal window while maintaining compliance oversight.
