FG releases 5% of N54.9trn road budget

The Federal Government released about N2.68tn for the construction, rehabilitation and maintenance of roads and bridges between 2023 and April 2026, despite making budgetary provisions totalling N54.93tn for the sector during the period.

Findings from the Open Treasury Portal showed that actual releases represented barely five per cent of the total amount budgeted for road-related projects, highlighting persistent funding constraints affecting infrastructure delivery.

In 2023, the government budgeted N2.53tn for road projects and released N631.51bn, representing an implementation rate of 24.95 per cent.

Of the amount released, road construction projects received N280.14bn from an allocation of N1.09tn, rehabilitation and repair projects got N345.93bn from a budget of N1.42tn, while road and bridge maintenance projects received N5.44bn out of N14.68bn.

In 2024, budgetary provisions for the sector increased significantly to N9.39tn. However, only N784.60bn was released, representing 8.36 per cent of the approved budget.

Road construction projects received N383.74bn from an allocation of N5.05tn, while rehabilitation projects attracted N384.49bn from a budget of N4.32tn. Maintenance projects received N16.37bn out of a total provision of N18.18bn.

The trend continued in 2025, with the government budgeting N7.22tn for road construction and rehabilitation projects but releasing only N670.68bn, representing an implementation rate of 9.29 per cent.

Of the amount released, N269.75bn went to road construction projects from an allocation of N3.42tn, while rehabilitation and repair projects received N400.94bn from a budget of N3.80tn.

As of April 2026, the Federal Government had earmarked N35.79tn for road construction, rehabilitation and maintenance projects, the highest allocation within the four-year period.

However, only N597.08bn had been released, representing 1.67 per cent of the approved budget.

Road construction projects had an allocation of N23.61tn but received only N293.06bn, while rehabilitation and repair projects got N300.80bn from a budget of N12.03tn. Road and bridge maintenance projects received N3.22bn out of an allocation of N144.64bn.

Treasury records also showed that N26.54bn was released in April alone, leaving an outstanding budget balance of N23.32tn yet to be funded.

The data indicate that although allocations for road infrastructure have expanded significantly, actual releases have remained far below approved budgets.

Road construction consistently attracted the largest allocations, rising from N1.09tn in 2023 to N23.61tn in 2026, reflecting the government’s focus on major highway projects.

Road rehabilitation spending also increased substantially, rising from N1.42tn in 2023 to N12.03tn in 2026.

Maintenance projects received the smallest allocations but recorded the highest execution rates. In 2024, road and bridge maintenance achieved an implementation rate of 90.05 per cent, compared to less than 10 per cent for construction and rehabilitation projects.

The figures come amid the Federal Government’s renewed emphasis on infrastructure development under President Bola Tinubu’s Renewed Hope Agenda.

Major projects currently underway include the Lagos-Calabar Coastal Highway, the Abuja-Kaduna-Zaria-Kano Road, the Sokoto-Badagry Super Highway and other strategic federal roads across the country.

Minister of Works, David Umahi, recently said the ministry would prioritise the completion of major highways and the execution of four presidential legacy projects in its 2026 capital plan.

According to him, the ministry inherited more than 2,000 ongoing projects in 2023, many of which have been rolled over into subsequent budgets due to funding challenges.

Umahi also disclosed that the Federal Government owes contractors about N2.2tn for certified works executed between 2024 and 2025, underscoring the financing difficulties facing the road sector despite rising budgetary allocations.

Analysts say the challenge remains ensuring that growing budgetary commitments are backed by timely releases to deliver the intended benefits of improved infrastructure and economic growth.

(Punch)