Regional development commissions in Nigeria are allocated over N2.2 trillion to spend in 2025, according to the provisions of the N49.7 trillion budget, which is now awaiting deliberation by the National Assembly.
President Bola Tinubu presented the estimates for the upcoming year’s budget to a joint session of Nigeria’s bicameral legislature on December 18.
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In addition to the existing Niger Delta Development Commission (NDDC) and North East Development Commission (NEDC), the National Assembly established three additional regional development commissions that received presidential assent in 2024.
These include the South East Development Commission (SEDC), South West Development Commission (SWDC), and North West Development Commission (NWDC).
Two other regional commissions, the South-South Development Commission and the North Central Development Commission, were passed by the Senate and the House of Representatives but are yet to receive presidential approval.
Allocations obtained by the Nigerian Tribune reveal that among the three new commissions approved by the President, the North West Development Commission has the highest allocation of N585.93 billion, followed by the South West Development Commission with N498.40 billion, and the South East Development Commission with N341.27 billion.
However, the NDDC leads overall with an allocation of N776.53 billion, followed by the NEDC with N290.99 billion. Both commissions were established prior to 2024.
The 2025 national budget estimate of N49.7 trillion faces a revenue shortfall, with expected earnings of only N34.82 trillion, leaving a deficit of N13.08 trillion to be addressed through borrowing and other Federal Government initiatives.
While presenting the budget, President Tinubu stated:
“In 2025, we are targeting 34.82 trillion naira in revenue to fund the budget. Government expenditure in the same year is projected to be 47.90 trillion naira, including 15.81 trillion naira for debt servicing.
“A total of 13.08 trillion naira, or 3.89 percent of GDP, will constitute the budget deficit.
“The budget projects inflation to decline from the current rate of 34.6 percent to 15 percent next year, while the exchange rate is expected to improve from approximately 1,700 naira per US dollar to 1,500 naira. A base crude oil production assumption of 2.06 million barrels per day (mbpd) is also included.”
The development commissions, while adding to the cost of governance, are part of the Federal Government’s strategy to decentralize responsibilities and bring development closer to the regions.
For instance, the NWDC is mandated to develop states in the North-West zone, including Sokoto, Zamfara, Kano, Kebbi, Kaduna, Jigawa, and Katsina.
The SEDC is tasked with a similar role in the South-East states of Enugu, Anambra, Abia, Imo, and Ebonyi, while the SWDC covers Oyo, Ogun, Lagos, Ekiti, Osun, and Ondo.
The SEDC Act, which served as a model for the other new commissions, outlines its responsibilities:
“It shall, among other roles, conceive, plan, and implement projects and programmes for the sustainable development of the South-East states in transportation, including roads, health, education, employment, agriculture, industrialization, housing and urban development, water supply, electricity, and telecommunications; survey the South-East states to identify necessary measures to promote physical and socio-economic development…”
Speaking on the passage of the bill in February, Senate President Godswill Akpabio emphasized its significance:
“This is a very important bill passed by this 10th Senate. It addresses the concerns of our brothers and sisters from the South-East and aims to end marginalization.
“I want to congratulate everyone involved. I pray this commission brings significant development to the South-East and helps to end any form of agitation, fostering peace in the region.”