The Federal Ministry of Finance has denied reports alleging that the Federal Government spent more than ₦8 trillion outside the approved national budget, describing the claims as a false interpretation of the International Monetary Fund’s (IMF) 2026 Article IV Consultation Report.
In a statement released on Saturday, the ministry said assertions that about two percent of Nigeria’s Gross Domestic Product (GDP) was spent outside the country’s budgetary framework were inaccurate and could mislead the public about the government’s financial operations.
The ministry stressed that the Federal Government does not operate any unofficial or hidden budget and that all public expenditures are carried out in accordance with the Constitution, Appropriation Acts, Supplementary Appropriation Acts and other laws approved by the National Assembly.
It explained that many capital projects extend over several years and may require approved budget rollovers, noting that such practices are a normal part of public financial management and should not be mistaken for unauthorized spending.
According to the ministry, there is no evidence that trillions of naira were secretly spent without legislative approval. It challenged those making the allegations to identify any project executed without legal appropriation and provide verifiable proof.
The statement also noted that Nigeria’s fiscal framework legally accommodates statutory transfers, first-line charges, intervention programmes and debt servicing obligations. These expenditures, it said, are publicly disclosed and remain subject to oversight, auditing and accountability procedures.
The ministry added that differences in the presentation of certain expenditures across fiscal reports and annual budgets should not be interpreted as unlawful spending.
It further dismissed claims that the reported amount reflected a rise in the country’s fiscal deficit, explaining that budget deficits are determined by the balance between government revenue and expenditure rather than by how projects are financed.
According to the ministry, the IMF’s observations were focused on improving the comprehensiveness, timing and presentation of fiscal reporting, not on the legality of government spending.
It also recalled that President Bola Tinubu had already directed the harmonisation of overlapping budgets into a unified framework during the presentation of the 2026 Appropriation Bill to the National Assembly in December 2025.
The ministry maintained that reforms in revenue collection, treasury management and the digitalisation of public finance systems have significantly improved transparency and accountability.
While acknowledging the importance of public debate, it urged Nigerians to base discussions on verified facts and a proper understanding of the country’s legal and financial framework, warning that misrepresenting technical fiscal observations does not promote informed public discourse.
