MDAs got N5.81tn for capital projects in 2024 — Budget Office

Ministries, Departments and Agencies of the Federal Government received a total of N5.81tn for capital projects in the 2024 fiscal year, according to the latest Budget Implementation Report released by the Budget Office of the Federation.

The report obtained on Thursday showed that 81.91 per cent of the amount was utilised, reflecting improved budget performance and project execution across key infrastructure sectors despite fiscal pressures and revenue shortfalls.

The Budget Office noted that the utilisation rate underscores the government’s commitment to accelerating infrastructure delivery despite fiscal constraints and revenue shortfalls experienced during the period.

The Federal Government recorded a total revenue inflow of N20.98tn in 2024, marking a 68.1 per cent increase compared to N12.48tn realised in 2023, according to the Budget Office of the Federation.

The figure, however, fell N4.89tn or 18.9 per cent short of the government’s annual target of N25.87tn, as contained in the 2024 Appropriation Act signed by President Bola Tinubu in January 2024.

The report read, “Federal Government revenue totalled N20.78tn (66.59 per cent higher than

2023, but 19.68 per cent below the target. Oil revenue underperformed at N15.07tn, while non-oil revenue outperformed at N16.09tn. Expenditure was N27.47tn. Non-debt recurrent spending stood at N8.53tn; debt service reached N11.03tn. N5.81tn was released for capital projects, with 81.91 per cent utilised by MDAs. The fiscal deficit was N9.18tn, financed through domestic borrowing. Debt-to-GDP rose to 61.22 per cent.”

When MDAs fail to fully utilise funds released to them for capital projects within a fiscal year, the unspent balance is legally required to be returned to the Federal Government’s treasury.