Governor of Enugu State, Dr. Peter Mbah, on Tuesday presented a record N1.62 trillion 2026 budget to the Enugu State House of Assembly, describing it as the “Budget of Renewed Momentum.”
The budget marks a 66.5% increase over the revised 2025 budget of N971 billion and reflects the administration’s shift from laying foundations to scaling transformation across all sectors.
Dubbed the Budget of Renewed Momentum, it comprises a Capital Expenditure of N1,296,092,465,000 (80% of the total) and a Recurrent Component of N321,305,000,000 (20%), totaling N1,617,397,465,000.
Governor Mbah said the budget would be funded through N870 billion Internally Generated Revenue (IGR), N387 billion from the Federal Account Allocation Committee (FAAC), and N329 billion in Capital Receipts.
Sectoral Allocations
- Economic Sector: N825.9 billion (51%)
- Social Sector: N644.7 billion (40.1%)
- Administration: N128 billion
- Justice: N15.8 billion
- Regional Development: N2 billion
“Allocating N825.9 billion to the Economic Sector is strategic and deliberate. When we invest in agriculture, industry, and trade, we create jobs, reduce poverty, and generate revenue that strengthens the entire economy.”
“The performance of this sector remains central to our vision of achieving a seven-fold GDP growth in Enugu State,” the governor explained.
Key Projects and Initiatives
Infrastructure & Roads:
- Construction of 1,200 urban roads and additional rural roads
- Completion of the 40-kilometre Owo-Ubahu-Amankanu-Neke-Ikem dual carriageway
- Dualisation of Abakpa Nike–Ugwogo Nike–Ekwegbe–Opi-Nsukka Road
- Completion of the 21.65-kilometre Enugu–Abakaliki Expressway
Transportation:
- Acquisition of 14 additional aircraft to expand Enugu Air’s fleet to 20, with three arriving before the end of 2025
- Construction of five new transport terminals in Emene, Udi, Awgu, Four-Corners (Ozalla), and Obollo-Afor
Housing:
- 15% of the budget earmarked for 15,000 mass housing units
- Continued development of New Enugu City
Agriculture:
- Construction of 20-hectare Farm Estates in all 260 wards of the state, some already underway
Social Sector:
- Education receives 32.27% of the total budget, continuing the pattern of previous years
- Focus on Smart Secondary Schools and Technical and Vocational Education Training (TVET) Colleges
“There are some, who might look at what we spend on education and cringe. But what we spend currently on education is largely insignificant weighed against the future social cost of having a disproportionate population of out-of-school children,” he explained.
Other Priorities:
- Gratuities: N20 billion allocated to clear longstanding staff entitlements
- Security: N11 billion for the second phase of the administration’s surveillance system
- Health: 10% of total budget
On 2025 budget execution, Governor Mbah said:
“This means that we utilized 97.5 per cent of all the money that came into the state and achieved 83 per cent of the total budget implementation as against the revised budget of N871 billion.”
He added on revenue performance:
“The money coming into Enugu State has grown in ways we have never seen before. Our internally generated revenue is set to exceed ₦400 billion by the end of the year. It is not yet where we ultimately want to be, but it is already the highest IGR in the history of Enugu State – a 221.6% increase over 2024.”
He also commended President Bola Tinubu’s economic policies:
“Our FAAC inflow did not just meet expectations – it exceeded them by more than half. We projected about ₦150 billion but we received ₦230 billion – over 50 per cent above projection. This is not accidental. It reflects the impact of President Bola Ahmed Tinubu’s bold economic reforms.”
“The removal of fuel subsidies, unification of foreign exchange rate and other fiscal measures have strengthened key macro indicators – inflation has declined and continues to trend downwardly, interest rates have eased, and the exchange rate has stabilised. And our foreign reserve has continued to be strengthened, and recently hit the $46 billion mark.”
