Enugu Unveils Record ₦1.62 Trillion 2026 Budget to Accelerate Statewide Transformation

Enugu State 2026 Budget: N1.62 Trillion “Budget of Renewed Momentum

Enugu State Governor, Dr Peter Mbah, has presented a landmark ₦1.62 trillion budget proposal for the 2026 fiscal year, signalling the administration’s transition from foundational reforms to large-scale, execution-driven transformation across all sectors. The proposal, submitted to the Enugu State House of Assembly on Tuesday, represents a 66.5% increase over the revised 2025 budget.

Governor Mbah described the 2026 Appropriation Bill, tagged Budget of Renewed Momentum, as a strategic framework for accelerating economic expansion, strengthening human capital, and deepening infrastructure delivery.

The proposal allocates ₦1.296 trillion 80% to capital expenditure and ₦321.3 billion 20% to recurrent spending, underscoring the administration’s emphasis on investment-led development.

Funding is expected from:

  • ₦870 billion in projected Internally Generated Revenue (IGR)

  • ₦387 billion from the Federation Account Allocation Committee (FAAC)

  • ₦329 billion in capital receipts

The governor noted that the revenue outlook reflects rising investor confidence, ongoing fiscal reforms, and stronger policy alignment with federal economic initiatives.

Sectoral Allocations: Prioritising Economic Expansion

The budget channels resources into sectors deemed crucial for productivity, competitiveness, and long-term growth.

Economic Sector — ₦825.9 billion (51%)

This allocation targets agriculture, industry, trade, infrastructure, and transport areas the administration considers central to its plan to multiply Enugu’s GDP by seven.

Key initiatives include:

  • Construction of 1,200 urban roads and multiple rural roads

  • Completion of the 40km Owo–Ubahu–Amankanu–Neke–Ikem dual carriageway

  • Dualisation of the Abakpa Nike–Ugwogo Nike–Ekwegbe–Opi–Nsukka Road

  • Advancement of the 21.65km Enugu–Abakaliki corridor

Transport & Logistics

The government plans to expand Enugu Air’s fleet to 20 aircraft, with three additional units expected before the end of 2025.
New transport terminals will be developed in:

  • Emene

  • Udi

  • Awgu

  • Four Corners (Ozalla)

  • Obollo-Afor

The state is also allocating 15 per cent of the capital budget to mass housing development, including 15,000 housing units and continued investments in the New Enugu City project.

Agriculture and Food Security

The state will intensify the rollout of 20-hectare farm estates across all 260 wards, enabling large-scale production, agro-processing, and rural industrialisation.

Social Sector: Human Capital at the Core

Education — 32.27% of Total Budget

Education receives the largest share within the social sector, maintaining the administration’s ongoing priority of reducing out-of-school numbers and upgrading learning infrastructure.

The state plans to:

  • Complete or enhance 260 Smart Green Primary Schools

  • Begin the construction of Smart Secondary Schools and TVET colleges

  • Invest in teacher training and curriculum modernisation

Governor Mbah emphasised that the long-term cost of neglected education outweighs the size of current investment.

Health — 10% of Total Budget

Ongoing reforms will focus on:

  • Completing major hospital upgrades

  • Strengthening emergency systems

  • Expanding primary healthcare coverage

  • Funding vulnerable household insurance

  • Scaling digital health systems and supply chain improvements

Security & Governance

The administration has earmarked:

  • ₦11 billion for the second phase of its statewide security surveillance system

  • ₦20 billion for clearing decades-old gratuities owed to retirees

2025 Budget Performance: A Year of Revenue Expansion

The governor reported that the state has implemented 83% of the revised 2025 budget, with ₦806 billion spent to date—representing 97.5% utilisation of available funds.

Significant gains include:

  • Internally generated revenue projected to surpass ₦400 billion, the highest in the state’s history and a 221.6% increase over 2024

  • FAAC inflows exceeding projections by over 50%, attributed to national fiscal reforms and improved macroeconomic conditions

Governor Mbah commended the Federal Government’s policy direction, noting its positive effect on inflation, interest rates, FX stability, and federal allocations.

Looking Ahead

The 2026 budget signals a decisive shift toward rapid, infrastructure-led development, human capital renewal, and aggressive economic expansion. If approved and fully executed, it will mark one of the largest subnational public investment programmes in Nigeria, positioning Enugu as a leading destination for capital, talent, and long-term growth.

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