Abuja, July 5, 2026
The Federal Government has dismissed claims that it spent over ₦8 trillion outside the approved national budget, describing the allegation as false and a misrepresentation of Nigeria's public finance framework.
In a statement issued on Sunday, the Honourable Minister of Finance and Coordinating Minister of the Economy, *Taiwo Oyedele*, said the Federal Government does not operate a "shadow budget" or spend public funds outside the constitutional and legal framework established for public finance.
The clarification follows recent public commentary linking the alleged off-budget spending to the *2026 IMF Article IV Consultation Report*. According to the Ministry, the IMF's observations relate to the presentation and comprehensiveness of fiscal reporting rather than the legality of government expenditure.
The Ministry explained that all Federal Government spending is authorised through Appropriation Acts, Supplementary Appropriation Acts, and other statutory provisions approved by the National Assembly. It added that statutory transfers, debt service, security interventions, multi-year capital projects, and other legally established expenditure mechanisms are recognised components of Nigeria's public financial management system.
The government also rejected claims that the reported amount represents an increase in the fiscal deficit, noting that deficits are determined by the relationship between total government revenue and expenditure, not by how approved expenditures are classified or financed.
Reaffirming its commitment to fiscal responsibility, the Ministry highlighted ongoing reforms aimed at strengthening budget credibility, treasury management, revenue administration, and the digitalisation of government financial processes. It noted that these reforms have received recognition from the IMF, international credit rating agencies, investors, and other development partners.
While encouraging robust public debate, the Ministry urged commentators to rely on verified facts and an accurate understanding of Nigeria's fiscal and constitutional framework, stressing that misleading interpretations of technical fiscal reports do not promote informed public discourse or accountability.