ACCORDING to the 2026 budget, the Federal Government plans to spend N58.18 trillion, with projected revenues and inflows of N34.33 trillion, resulting in a deficit of N23.85 trillion. This deficit, according to government, will likely be financed through borrowing, asset disposals, and external project loans.
The plan of government to raise over N189 billion in 2026 through asset sales and privatisation has raised concerns. Given the country’s track record, many are worried about the implications of this approach to financing the nation’s largest budget ever.
A growing number of observers believe that the massive 2026 budget is designed to fuel election spending in 2027. With indicators suggesting that the next elections will be heavily monetised, the ruling party may be trying to stockpile funds to influence the outcome, given its poor performance and the likelihood of facing voter backlash at the polls.
As we speak, the specific assets for sale and privatisation in 2026 haven’t been listed yet. However, the Director-General of the Bureau of Public Enterprises, Mr. Ayodeji Gbeleyi, has confirmed that 91 federal assets are slated for privatisation.
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Given the current administration’s penchant for secrecy and lack of accountability, Nigerians may be left in the dark about the timing and details of the upcoming privatisation. The country is still reeling from the aftermath of the Obasanjo era’s asset sales, which saw public assets undervalued and sold to cronies.
Rumours suggest that the rift between Obasanjo and Atiku stems from the botched privatisation process. Allegations of corruption, presidential interference, and disregard for due process have been levelled against the handling of core investor selection, public enterprise valuation, share pricing, worker benefits, and use of privatisation proceeds. Mallam Nasir el-Rufai’s testimony before the Senate committee investigating the privatisation confirmed that presidential influence was a major obstacle.
How can Nigerians be certain that a president who has overwhelmingly favoured his Yoruba ethnic group in appointments won’t use privatisation and asset sales to further enrich them, given the fact that the head of the agency to supervise the process is also a Yoruba man?
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We live in a country where probes yield nothing, and that’s why politicians act with impunity. In our flawed democracy, wrongdoing goes unchecked, and criticism is met with hostility. The government doesn’t just dismiss criticism – it views critics as enemies. With no accountability, officials are likely emboldened to push through the planned asset sales, no matter the consequences.
In the APC government of today, performance is now measured by how well it benefits the president’s friends, associates, and ethnic group. It has become nearly impossible for APC loyalists, President Tinubu’s relatives, friends or fellow Yorubas to acknowledge the government’s shortcomings. This pattern echoes the previous administration under Muhammadu Buhari, where loyalty and ethnic ties seemed to trump merit and accountability. In contrast, Goodluck Jonathan’s presidency was notable for its more inclusive approach. The APC’s current style is detrimental to Nigeria’s democracy.
Despite the 2026 budget’s shortcomings, some still believe it is achievable. However, the real challenge facing our economy is not revenue generation, but the staggering losses due to corruption. If we can plug the daily leaks, we would have sufficient funds for government projects. With corruption still rampant, it’s uncertain whether the N189 billion target will be met.
After 31 months, this administration’s borrowing spree has become a norm, with Nigerians left in the dark about how the funds are being utilised. More money will still be borrowed to finance the gab. Given the APC government’s track record under Buhari, where repatriated Abacha loot seemed to vanish into thin air, it’s not far-fetched to worry that the proceeds from asset sales and privatisation might meet a similar fate.
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Following the damage inflicted on the nation by this government’s reforms, it’s clear that President Tinubu wasn’t prepared for the job. The economy’s current state appears rudderless, and what we’re witnessing seems to be a trial-and-error approach.
A growing number of observers believe that the massive 2026 budget is designed to fuel election spending in 2027. With indicators suggesting that the next elections will be heavily monetised, the ruling party may be trying to stockpile funds to influence the outcome, given its poor performance and the likelihood of facing voter backlash at the polls.
Despite the 2026 budget’s shortcomings, some still believe it is achievable. However, the real challenge facing our economy is not revenue generation, but the staggering losses due to corruption. If we can plug the daily leaks, we would have sufficient funds for government projects. With corruption still rampant, it’s uncertain whether the N189 billion target will be met.
Comrade Amechi is a Lagos-based trade union activist and pro-democracy advocate.
