Governor Siminalayi Fubara of Rivers State presented the 2026 appropriation bill of N1.85 trillion to the Rivers State House of Assembly on Friday. The bill, tagged “Budget of Resilience for Growth and Development,” outlines a significant increase in capital spending and a focus on economic growth.
Revenue Projections and Expenditure Breakdown
Fubara stated that the proposed total operating revenue for 2026 is projected to increase by 24.49% over the 2025 adjusted budget projections. The capital budget rose from over N713 billion in 2025 to over N1.4 trillion in 2026, representing a 22.49% increase in infrastructure services expenditure. This growth is attributed to potential increases in returns from FAAC, derivation funds, and Internally Generated Revenue (IGR) as the economic outlook shows positive growth.
A breakdown of the budget indicates that over N1.4 trillion is assigned to capital projects, while over N413 billion is budgeted for recurrent expenditure. On recurrent expenditure, N154 billion is projected for total personnel costs, including salaries for Ministries, Departments, and Parastatals, while N15 billion is allocated to new recruitments. Consolidated revenue fund charges received N772 million, and overheads for MDAs are projected at N36 billion. Other allocations include monthly pension (N55 billion), gratuities (N20 billion), legacy pension gratuities (N20 billion), interest on domestic loans (N28 billion), and long-term domestic loan principal repayment (N30 billion).
Capital Expenditure Highlights
Capital expenditure allocations include N625 billion for the economic sector, N278 billion for administration, N435 billion for the social sector, and N65 billion for law and justice. Revenue sources for budget funding include IGR projected at over N487 billion, FAAC and derivation funds at N936 billion, and N48 billion from opening and closing balances. Total capital receipts, including domestic loans, grants, and asset sales, are estimated at over N382 billion.
Further breaking down capital expenditure, Fubara noted N533 billion for works and infrastructure, N315 billion for educational development, N105 billion for healthcare delivery, and N41 billion for the Rivers State House of Assembly. The governor announced at least a 50% increase in overhead expenditure to enable MDAs to cover operational costs.
Budget Priorities and Implementation
Speaking on priority areas, Fubara said the 2026 budget focuses on building a secure, prosperous, and resilient state, in line with the needs and aspirations of the people. “Our primary priorities for the 2026 financial year include economic growth, human capital development, socio-economic infrastructure and social investment,” he said. “Although we acknowledge the delay in preparing the budget, we assure a strong implementation, consistent with our commitment to accountability, transparency, and responsible management of public resources.”
The budget assumptions and fiscal objectives are outlined in the medium-term expenditure framework 2026-2028, which the House has already considered.
