Budgetary allocation must focus on effective execution – Okonjo-Iweala

Director-General of the World Trade Organisation, Ngozi Okonjo-Iweala, has urged Nigeria to shift its focus from budget allocations to effective execution and maintenance of infrastructure, arguing that increased public spending alone cannot guarantee sustainable development.

Speaking on Monday at the 2026 Delta State Economic and Investment Summit, themed ‘Harnessing Our Strengths, Unlocking Our Potentials,’ the former Nigerian finance minister said the country must build a stronger maintenance culture while investing in critical infrastructure needed to drive growth.

According to her, the availability of natural and financial resources is insufficient without efficient implementation and long-term asset management.

“Endowments alone do not add value. Budgetary allocations alone do not lead to new roads, to good maintenance,” Okonjo-Iweala said.

She lamented the country’s weak maintenance culture, stressing that preserving existing infrastructure is as important as constructing new projects. She identified better ports, improved digital infrastructure and lower trade costs as key areas that require sustained attention to boost Nigeria’s competitiveness.

“We lack a maintenance culture in the country. We need maintenance. We need better ports and digital infrastructure, and lower trade costs. Execution is what matters, and successful execution requires focus. It requires prioritisation,” she said.

Okonjo-Iweala also pointed to improvements in Nigeria’s macroeconomic environment, particularly efforts by the Federal Government to stabilise the exchange rate and curb inflation, saying these reforms would strengthen the economic prospects of states if sustained.

She said Nigeria would benefit from developing additional economic growth centres beyond Lagos, Kano and Port Harcourt, noting that Delta State has the potential to emerge as another major commercial hub capable of easing pressure on the country’s existing business centres.

The WTO chief urged the Delta State Government to remain fiscally disciplined and ensure public funds are directed toward productive investments that support long-term economic growth rather than recurrent or wasteful spending.

Referring to the state’s proposed 2026 budget of N1.664tn, she commended the emphasis on capital expenditure, saying increased investment in infrastructure could help place Delta on a stronger growth trajectory.

Okonjo-Iweala also endorsed the state’s plan to establish Special Economic Zones, describing them as one of the most effective industrial policy tools available to governments with limited fiscal resources and relatively small domestic markets.

She explained that well-designed SEZs allow governments to concentrate infrastructure, regulatory reforms, skilled labour and business support services within designated locations, creating conditions that attract private investment and manufacturing.

According to her, Delta’s abundant gas resources provide a strong foundation for the successful development of industrial parks, particularly when supported by the Federal Government.

However, she stressed that such zones can only thrive with reliable electricity, quality roads, rail connectivity, water supply, digital infrastructure and efficient regulatory institutions, all of which require sustained federal collaboration.