The federal government, through the Budget Office of the Federation, has denied claims that the North East Development Commission (NEDC) operates a ₦246 billion salaries budget, describing the report as “misleading, inaccurate, and rooted in a fundamental misunderstanding” of Nigeria’s budgeting framework.
In a statement issued on Thursday, Tanimu Yakubu, Director General of the Budget Office of the Federation, clarified that the ₦246.77 billion allocation reflected against the NEDC is not strictly for salaries but a statutory lump-sum provision. He explained that it is “initially presented at an aggregate level, consistent with established budget preparation practices for statutory and quasi-statutory bodies under the Medium-Term Expenditure Framework (MTEF).”
Yakubu stated that the suggestion that ₦244 billion out of the allocation is dedicated solely to personnel costs is incorrect. He explained that, during budget preparation, when agencies do not submit a complete internal economic breakdown at the point of upload, allocations may appear under the Personnel Cost heading as a temporary technical placeholder. According to him, “This is a recognised procedural convention pending detailed submissions, legislative adjustments, and approved reallocations during budget execution.”
He stressed that this technical presentation should not be mistaken for spending intent. On capital expenditure, Yakubu said the ₦2.70 billion figure mentioned in public discussions reflects the National Assembly’s rephrasing of capital votes in the 2025 budget. About 70 per cent of those funds, he noted, have been rolled into the 2026 fiscal year as part of a legislative decision on timing and sequencing.
“This does not indicate a lack of development projects,” he added. He further explained that the same budget documents contain details of ongoing interventions across the North East region, including agricultural support programmes, food security initiatives, orphanage construction and rehabilitation, IDP camp reconstruction, borehole projects, security logistics, and constituency-level development projects.
“Selective reading of a single budget line while ignoring accompanying schedules is not analysis—it is a distortion,” the statement read.
Yakubu also noted that personnel costs within development commissions are neither unusual nor improper, as they fund essential roles such as engineers, procurement officers, project managers, monitoring teams, and fiduciary oversight staff needed to ensure effective delivery of projects.
“The NEDC operates within well-defined accountability frameworks, including the MTEF, annual Appropriation Acts, National Assembly oversight, quarterly budget performance reporting, and statutory audits,” he said.
The Budget Office concluded by urging commentators and the public to verify information before making assumptions. “Misinformation does not serve accountability, and ignorance of the budget process should not be weaponised as public commentary,” Yakubu said.
