The Federal Executive Council (FEC) yesterday approved the 2026–2028 Medium-Term Expenditure Framework (MTEF), setting revenue projections, fiscal benchmarks and spending priorities for the next three years.
Minister of Budget and Economic Planning, Senator Atiku Bagudu, briefed State House Correspondents after the meeting chaired by President Bola Tinubu.
Bagudu said the Federal Government is projecting revenue of ₦34.33 trillion for 2026, including ₦4.98 trillion from government-owned enterprises. He noted that the figure is ₦6.55 trillion lower than earlier estimates, adding that the government’s share of the allocation stands at ₦9.4 trillion, representing a 16 per cent drop from the 2025 budget.
He said statutory transfers are projected to be around ₦3 trillion.
According to him, FEC approved an oil production target of 2.6 million barrels per day for 2026, while a more conservative 1.8 million barrels per day would be used for budgeting. The Council also adopted an oil benchmark price of $64 per barrel and an exchange rate assumption of ₦1,512/$, which he said reflects expectations ahead of the 2027 general elections.
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Bagudu added that the parameters were based on analyses by the Budget Office and other relevant agencies, with cabinet members’ inputs incorporated before the Medium-Term Fiscal Expenditure Ceiling (MFTEC) was approved.
In a related briefing, Minister of Finance and Coordinating Minister of the Economy, Wale Edun, said the Council approved a $100 million African Development Bank facility under the Nigeria Youth Investment Fund to support entrepreneurs aged 18 to 35 engaged in small and medium-scale businesses.
He also announced FEC’s approval of an Islamic Development Bank facility for an integrated agricultural development project in Yobe State, noting that both facilities are concessional and long-term.
Edun said President Tinubu welcomed recent improvements in GDP growth but insisted the numbers still fall short of his target. The President, he added, directed Ministries, Departments and Agencies to prioritise capital projects that drive economic expansion and create jobs.
