Federal Government Disburses ₦2.45 Trillion to States for Infrastructure and Security

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36 States Receive ₦2.45tn Infrastructure Support Under Tinubu’s Reform

The Federal Government of Nigeria has disbursed a total of ₦2.45 trillion to the 36 state governments and the Federal Capital Territory (FCT) to bolster infrastructure development and strengthen security operations. According to official records from the Office of the Accountant-General of the Federation (OAGF), the funds were released over a 17-month period between March 2024 and August 2025.

The intervention is a core component of the administration's strategy to address widespread insecurity and bridge critical infrastructure gaps at the subnational level.

Funding Source and Disbursement Pattern

The disbursements were drawn from the "Ledger of Savings on Intervention to States Infrastructure and Security," a special account funded through non-oil revenue savings. This programme was designed to ease fiscal pressure on state governments following the removal of the petrol subsidy and to accelerate project execution at the grassroots.

Key highlights of the disbursement schedule include:

  • 2024 Total: ₦1.184 trillion was released across four major tranches in April (₦259B), May (₦222B), September (₦370B), and December (₦333B).

  • 2025 Total (to August): Payments rose to ₦1.266 trillion, with steady monthly transfers peaking at ₦250B per month between May and July 2025.

  • Current Balance: As of August 25, 2025, the ledger showed a zero balance, indicating that all received non-oil savings for that period had been fully distributed to the states.

Objectives of the Infrastructure Support Fund (ISF)

The establishment of the ISF was approved by President Bola Tinubu in July 2023. The fund's primary mandate is to enable states to intervene in critical sectors that directly impact economic productivity and public safety.

Primary Investment Areas:

  1. Transportation: Expansion of rural and urban road networks to improve market access.

  2. Security: Strengthening subnational security architectures and supporting joint operations to curb kidnapping and insurgency.

  3. Agriculture & Power: Investments in local energy solutions and agricultural value chains to cushion economic shocks.

Accountability and Transparency Concerns

Despite the scale of the financial support, the OAGF documents did not provide a specific breakdown of the exact amount received by each individual state. This lack of granular detail has drawn criticism from civil society organisations.

According to Auwal Rafsanjani, Executive Director of the Civil Society Legislative Advocacy Centre (CISLAC), there are growing concerns regarding the "unaccountable use" of these funds. He noted that while the federal government has fulfilled its obligation of releasing the capital, the visible impact on regional security and infrastructure remains uneven across the federation.

Ayomide Fiyinfunoluwa

Written by Ayomide Fiyinfunoluwa, Housing Journalist & Daily News Reporter

Ayomide is a dedicated Housing Journalist at Nigeria Housing Market, where he leads the platform's daily news coverage. A graduate of Mass Communication and Journalism from Lagos State University (LASU), Ayomide applies his foundational training from one of Nigeria’s most prestigious media schools to the fast-paced world of property development. He specializes in reporting the high-frequency events that shape the Nigerian residential and commercial sectors, ensuring every story is anchored in journalistic integrity and professional accuracy.

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