Rivers State Governor, Siminalayi Fubara, on Friday presented a proposed N1.854 trillion budget for the 2026 fiscal year to the Rivers State House of Assembly, with the lion’s share of the spending plan dedicated to capital projects aimed at infrastructure development, education, healthcare and economic growth.

Tagged “Budget of Resilience for Growth and Development,” the appropriation bill projects a total expenditure of N1,854,248,734,475.76, comprising N413.1 billion for recurrent expenditure and N1.405 trillion for capital expenditure.

The budget presentation came two weeks after the House approved the state’s 2026-2028 Medium-Term Expenditure Framework (MTEF), which serves as the fiscal blueprint for the next three years.

Breaking down the proposed spending, Fubara allocated N625.85 billion to the economic sector, representing the largest share of the capital budget, while the social sector received N435.41 billion. The administration sector was allocated N278.75 billion, while law and justice got N65.26 billion.

Among the major capital allocations, works and infrastructure received the highest vote of N533.32 billion, followed by education with N315 billion and healthcare delivery with N105.43 billion.

The governor also proposed N41.44 billion for the Rivers State House of Assembly, N30 billion for the judiciary, N19.26 billion for agriculture, N15 billion for power, N8.5 billion for chieftaincy and community development, N7.98 billion for sports, N7 billion for youth development, N6.5 billion for women affairs and N6.61 billion for environment and sustainable development.

On recurrent expenditure, the budget provides N154.77 billion for personnel costs, N15.22 billion for new recruitment, N55.1 billion for monthly pensions, N20 billion each for gratuities and legacy pension gratuities, N7 billion for death benefits, N36.71 billion for overheads across ministries, departments and agencies (MDAs), and N9.76 billion for grants, contributions and subsidies.

The proposal also makes provisions for debt servicing, including N28.23 billion for interest on domestic loans, N6.5 billion for foreign loan interest, N30.45 billion for repayment of long-term domestic loans, N15.73 billion for foreign loan principal repayment and N3.86 billion for short-term domestic loan repayments.

Fubara said the state’s projected revenue of N1.854 trillion would be funded through N487.61 billion in internally generated revenue, N936.05 billion from the Federation Account Allocation Committee (FAAC), including derivation, VAT and exchange gains, N48.11 billion in opening and closing balances, and N382.48 billion from capital receipts, including loans, grants and asset sales.

He said the projected revenue represented a 24.49 per cent increase over the 2025 adjusted budget, attributing the growth to expected improvements in FAAC receipts, derivation funds and internally generated revenue.

The governor said the government had proposed a 50 per cent increase in overhead allocations for MDAs to improve operational efficiency once the budget becomes law.

He also disclosed that adequate provisions had been made to clear the backlog of gratuities and death benefits owed retired civil servants, which he said accumulated under previous administrations.

Fubara described the spending plan as a people-centred budget designed to promote inclusive economic growth, strengthen infrastructure, expand social investments and improve living standards across the state.

He said infrastructure development, completion of ongoing road projects, maintenance of existing roads and bridges, as well as significant investment in education, would remain key priorities in the 2026 fiscal year.

The governor urged lawmakers to give the appropriation bill expeditious consideration and approval, assuring that despite the delay in preparing the budget, his administration would ensure effective implementation in line with the principles of transparency, accountability and prudent management of public resources.

The presentation follows the earlier approval of the 2026-2028 Medium-Term Expenditure Framework by the House, although Speaker Martin Amaewhule had expressed reservations over the revenue projections, arguing that they were conservative in view of prevailing international crude oil prices. (Guardian)

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