Governor Peter Mbah of Enugu State on Thursday presented a bold ₦1.62 trillion Appropriation Bill for 2026 to the State House of Assembly, outlining an aggressive expansion plan aimed at accelerating infrastructure delivery, boosting revenue, and consolidating reforms initiated over the past year.
Tagged the “Budget of Renewed Momentum,” the proposal marks a significant scale-up from the 2025 budget and is anchored on four pillars: Empowerment and Education; Inclusive and People-Centred Development; Good Governance; and Economic Transformation.
Strong 2025 Performance Sets Foundation
Reviewing the outgoing fiscal year, Mbah said 2025 “moved Enugu from hope to evidence,” with improvements recorded in road construction, school upgrades, healthcare revitalisation, security reforms, and the revival of dormant state-owned assets such as Nigergas, Sunrise Flour Mill and the Enugu Tractor Assembly Plant.
Of the ₦971bn approved for 2025, the state recorded ₦826bn in receipts, reflecting an 85 percent performance. FAAC inflows surged above projections, rising from an expected ₦150bn to ₦230bn. Internally generated revenue is also on track to exceed ₦400bn — the highest in the state’s history.
Capital expenditure achieved 81 percent performance, while recurrent spending hit 92 percent. Mbah said the numbers demonstrate the administration’s discipline in fiscal execution.
₦1.62tn Budget: 80% Allocated to Capital Projects
The 2026 budget proposes ₦1.296tn — representing 80 percent — for capital expenditure, while recurrent spending is set at ₦321bn. Revenue projections include:
IGR: ₦870bn
FAAC: ₦387bn
Capital receipts: ₦329bn
Mbah said the bold revenue targets are anchored on automation, digital governance reforms, and expanded economic activities.
Economic Sector Takes Lion’s Share
The Economic Sector receives ₦868bn, or 61.4 percent of the capital budget. Key plans include:
Agriculture
All 260 ward-level farm estates will be equipped with warehouses, irrigation systems, solar lighting and mechanisation facilities to scale up commercial farming.
Transport
The state will complete five mega transport terminals in Emene, Udi, Awgu, Four Corners and Obollo-Afor; deploy 2,000 new taxis; and expand the state-owned airline fleet to 20 aircraft.
Infrastructure
More than 1,200 new urban roads will be constructed, alongside major rural road networks. Signature dual carriageways — including Owo–Ubahu–Neke–Ikem and Abakpa–Ugwogo–Opi — will also advance toward completion.
Housing
The government will commence construction of 15,000 mass housing units, with the New Enugu Smart City expected to generate over ₦300bn in revenue.
Education and Health Remain Core Priorities
Education retains its status as the top priority, taking more than 30 percent of the budget. Expansion of Smart Green Schools, upgrade of technical colleges, and strengthening of SUMAS Teaching Hospital are top items.
In health, the administration aims to finalise all 260 Type-2 Primary Healthcare Centres, each powered by solar energy and designed for 24-hour service.
Mbah also announced a ₦20bn allocation for gratuity payments, improved allowances for traditional rulers, and settlement of outstanding severance benefits for former councillors.
Governance and Reforms to Deepen Digital Efficiency
The governor said internal reforms — including automated land administration, digital procurement, performance-based budgeting and revenue monitoring — will be expanded to cut waste and enhance service delivery.
“Budget for Long-Term Transformation”
Mbah told lawmakers the 2026–2028 fiscal plan represents a shift from reform to implementation.
“This budget is not merely for 2026; it is an investment in the future of our children. It represents the confidence we have in Enugu’s capacity to grow, innovate and lead,” he said.
He urged the Assembly to pass the bill promptly, assuring transparency, accountability and accelerated project execution.
The 2026 Appropriation Bill is expected to undergo legislative review in the coming days.
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