Enugu State Governor Peter Mbah on Tuesday presented a ₦1.62 trillion budget proposal for 2026 to the Enugu State House of Assembly.
In a statement from the governor’s media office, Mbah described the proposal as marking the state’s transition “from laying foundations to scaling transformation across every sector.”
Tagged “Budget of Renewed Momentum,” the proposal represents a 66.5% increase over the revised ₦971 billion 2025 budget. The governor said the spending plan allocates ₦1.296 trillion, 80% of the total to capital projects, while recurrent expenditure stands at ₦321.3 billion (20%).
“We are scaling up. This budget is about momentum — renewed momentum — and the determination to transform Enugu State sustainably,” Mbah said.
The administration projects ₦870 billion in Internally Generated Revenue (IGR), ₦387 billion from the Federation Account Allocation Committee (FAAC), and ₦329 billion from capital receipts.
A sectoral breakdown shows the Economic Sector receiving ₦825.9 billion (51%), the Social Sector ₦644.7 billion (40.1%), while the Administration, Justice, and Regional sectors will get ₦128 billion, ₦15.8 billion, and ₦2 billion respectively.
“Allocating ₦825.9 billion to the Economic Sector is both strategic and deliberate,” the governor said. “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.”
Mbah outlined an ambitious infrastructure plan, including the construction of 1,200 urban roads and numerous rural roads. The state also intends to complete its flagship projects: the 40km Owo–Ubahu–Amankanu–Neke–Ikem dual carriageway, the dualisation of the Abakpa Nike–Ugwogo Nike–Ekwegbe–Opi–Nsukka Road, and the 21.65km Enugu–Abakaliki Expressway.
On transportation, the governor announced plans to expand the state-owned carrier, Enugu Air, to a 20-aircraft fleet. “We are acquiring 14 additional aircraft. Three of these will arrive before the end of 2025,” he disclosed.
The state will also build five new modern transport terminals in Emene, Udi, Awgu, Four Corners (Ozalla), and Obollo-Afor, alongside scaled-up investments in mass housing. It will intensify efforts to build 20-hectare farm estates across all 260 wards.
“Agriculture remains a backbone of our productivity agenda. We already have several farm estates under construction,” Mbah noted.
He added that the New Enugu City project will receive major infrastructural support, with 15% of the budget earmarked for developing 15,000 mass housing units.
The social sector received significant allocations, with education taking 32.27% of the entire budget—consistent with the administration’s prioritization of learning. “With 260 Smart Green Schools already completed or nearing completion, we will now move to build Smart Secondary Schools and Technical and Vocational Education Training (TVET) Colleges,” Mbah said.
He defended the heavy investment in education, saying: “There are some who might look at what we spend on education and cringe. But what we spend now is insignificant compared to the future social cost of having a disproportionate population of out-of-school children.”
Health will receive 10% of the budget, while ₦11 billion has been allocated for expanding the state’s security surveillance system.
The governor also announced a ₦20 billion allocation to clear longstanding gratuities inherited from previous administrations. “Our workers should not wait years to receive benefits they have earned,” he said.
Giving updates on the 2025 budget implementation, Mbah revealed that the state has spent about ₦806 billion so far, representing 97.5% of all funds received and translating to 83% overall implementation.
He reported that the state’s IGR is projected to exceed ₦400 billion by year-end—a record figure and a 221.6% increase over 2024. “The money coming into Enugu State has grown in ways we have never seen before,” he said.
Mbah credited part of the revenue boost to President Bola Tinubu’s economic reforms. “Our FAAC inflow exceeded expectations by more than half. We projected ₦150 billion but received ₦230 billion. This reflects the impact of President Bola Ahmed Tinubu’s bold economic reforms. The removal of fuel subsidies, unification of foreign exchange rates, and other fiscal measures have strengthened key macro indicators. Inflation has declined, interest rates have eased, the exchange rate has stabilised, and our foreign reserve recently hit the $46 billion mark.”
Mbah concluded that the 2026 budget is designed to consolidate the gains of the past two years and accelerate development across Enugu State.
“This is not just a budget; it is a blueprint for sustained transformation,” he said.
