Key points
- Federal Government budgeted ₦54.93 trillion for road projects between 2023 and April 2026 but released only ₦2.68 trillion.
- Budget implementation rate declined from 24.95 per cent in 2023 to just 1.67 per cent in 2026.
- Funding shortfalls continue to slow major highway projects despite rising infrastructure allocations.
Main story
The Federal Government has released only ₦2.68 trillion for road construction, rehabilitation and maintenance projects between 2023 and April 2026, representing approximately 4.9 per cent of the ₦54.93 trillion budgeted for the sector during the period.
Findings from the Open Treasury Portal revealed a widening gap between approved budgetary allocations and actual cash releases, raising concerns over the pace of infrastructure delivery despite record spending plans under President Bola Tinubu’s administration.
The data showed that road-related projects received a total budgetary provision of ₦2.53 trillion in 2023, of which ₦631.51 billion was released, translating to an implementation rate of 24.95 per cent.
A breakdown of the spending indicated that road construction projects received ₦280.14 billion from a budget of ₦1.09 trillion, while rehabilitation and repair projects got ₦345.93 billion out of ₦1.42 trillion. Road and bridge maintenance projects received ₦5.44 billion from a provision of ₦14.68 billion.
In 2024, government allocations to the road sector rose sharply to ₦9.39 trillion. However, actual releases amounted to only ₦784.60 billion, representing 8.36 per cent of the approved budget.
Of that amount, road construction projects received ₦383.74 billion from a budget of ₦5.05 trillion, while rehabilitation projects attracted ₦384.49 billion from an allocation of ₦4.32 trillion. Road and bridge maintenance received ₦16.37 billion out of ₦18.18 billion budgeted for the year.
The trend persisted in 2025, when the government earmarked ₦7.22 trillion for road projects but released only ₦670.68 billion, resulting in a 9.29 per cent implementation rate.
Road construction projects received ₦269.75 billion from a budget of ₦3.42 trillion, while rehabilitation and repair projects attracted ₦400.94 billion from ₦3.80 trillion allocated for the year.
The most significant increase in budgetary provisions came in 2026, with the government allocating ₦35.79 trillion to road construction, rehabilitation and maintenance projects as of April. Despite the unprecedented allocation, only ₦597.08 billion had been released, representing a mere 1.67 per cent implementation rate.
The figures showed that road construction projects were allocated ₦23.61 trillion but received only ₦293.06 billion. Rehabilitation projects received ₦300.80 billion from a budget of ₦12.03 trillion, while road and bridge maintenance projects got ₦3.22 billion out of ₦144.64 billion earmarked.
The Treasury records further showed that ₦26.54 billion was released in April 2026 alone, leaving an outstanding funding gap of more than ₦23 trillion.
The issues
The figures underscore the persistent challenge of translating ambitious infrastructure budgets into actual project execution.
While successive budgets have reflected increasing government commitment to road development, actual releases have remained significantly below allocations, slowing project delivery and contributing to rising contractor liabilities.
The road sector is also grappling with inflation, exchange rate pressures, and escalating construction costs, all of which have increased funding requirements for ongoing projects.
Furthermore, the Ministry of Works continues to manage thousands of inherited projects nationwide, many of which have been repeatedly rolled over due to inadequate funding.
What’s being said
The Minister of Works, David Umahi, recently informed lawmakers that the ministry would prioritise the completion of strategic highways and four presidential legacy projects in its 2026 capital programme.
According to the minister, the ministry inherited more than 2,000 ongoing road projects in 2023, many of which remain under implementation due to funding challenges.
Umahi also disclosed that the Federal Government owes contractors approximately ₦2.2 trillion for certified works executed between 2024 and 2025, highlighting the scale of financial obligations confronting the sector.
He noted that limited capital releases have compelled the ministry to re-scope projects and prioritise critical infrastructure.
What’s next
The Federal Government is expected to continue implementing key projects under the Renewed Hope Agenda, including the Lagos-Calabar Coastal Highway, the Abuja-Kaduna-Zaria-Kano Road, and the Sokoto-Badagry Super Highway.
However, analysts say the success of these projects will depend largely on improved funding mechanisms, timely budget releases, and innovative financing models capable of bridging the widening infrastructure financing gap.
Attention will also focus on whether future releases can match the scale of budgetary commitments and accelerate project completion nationwide.
Bottom line
Nigeria’s road infrastructure budget has expanded dramatically under the current administration, but actual funding releases remain far below approved allocations. Until budgetary commitments are matched with adequate and timely cash releases, the country’s ambitious road development agenda may continue to face significant implementation challenges despite record spending plans.
