MDAs to roll over 70% of 2025 budget to 2026

The federal government has urged all Ministries, Departments and Agencies to roll over 70 percent of their 2025 capital budget to 2026.   A circular signed by the Minister of Economic Planning and Budget, Sen. Abubakar Atiku Bagudu, said all the rollover and uploads must be in line with the immediate needs of the country […]

The federal government has urged all Ministries, Departments and Agencies to roll over 70 percent of their 2025 capital budget to 2026.

 

A circular signed by the Minister of Economic Planning and Budget, Sen. Abubakar Atiku Bagudu, said all the rollover and uploads must be in line with the immediate needs of the country as well as government’s development priorities that aligns with the policy direction of the new administration.

“This hinges on National Security, the Economy, Education, Health, Agriculture, Infrastructure, Power & Energy as well as social safety nets, women & youth empowerment.”

The circular added that the MDAs are also required to not exceed their 2025 overhead ceilings (Executive Proposal) for the purpose of preparing their 2026 Overhead budget submissions.

“While we note the impact of inflation on overhead costs, we are however constrained by revenue challenges in providing significantly more for overheads. We will however sustain the effort to achieve full release of the overhead budget.”

“For the Sectoral Capital budget ceilings for 2026, and as stated in section 1.4, the Federal Government has established a framework for the 2026 Capital Budget, setting MDAs’ budget ceilings at 70% of their 2025 project allocations.

This approach is based on the commitment to release 30% of the 2025 Capital Budget within the current fiscal year, with the remaining 70% balance being directly retained as the foundation for the 2026 budget rather than undergoing a traditional roll-over process.”

It added that in preparing their 2026 submissions, MDAs are strictly required to utilize only the projects and ERGP codes from the approved 2025 budget, and no new projects should be introduced.

“Submissions that exceed the 70% ceiling or include unapproved new projects will be considered non-compliant; the Budget Office of the Federation will exercise its discretion to adjust such submissions down to the approved ceiling consistent with these guidelines,” it said.

It added that the 2026 budget will be prepared using the Budget Preparation Sub system (BPS) on the GIFMIS platform, thus, all MDAs are required to prepare and submit their budgets online using the GIFMIS BPS platform.

“Relevant personnel of all MDAs will be re-trained on the use of the GIFMIS BPS for the preparation and submission of their 2026 budget proposals.”

It went on to state that the Budget Office has prepared personnel cost estimates based on information earlier obtained from the Integrated Personnel and Payroll Information System (IPPIS) and/ or submitted by the MDAs in response to the earlier issued 2026 Personnel Budget Call Circular.

“Each MDA will be advised accordingly of its personnel cost budget for FY 2026.”