The Nationalist Paper

A Digital Archive of Political Thought

Newspaper illustration with bold headline

The Civic Handbook

how to read a budget: a citizen's guide to where the money goes

Sunday, 19 April 2026

← Back to archive

Every year, the President of Nigeria presents a document to the National Assembly. It is called the Appropriation Bill. Most people call it the budget. It is the single most important document your government produces, and almost nobody reads it.

This is by design.

The budget is written in a language that looks like English but functions like code — line items, allocations, recurrent expenditure, capital expenditure, statutory transfers, service-wide votes. It is dense. It is long. It is deliberately, structurally, almost artistically boring. And this boredom is the budget's greatest weapon, because a document nobody reads is a document nobody questions.

But the budget is not complicated. It is a list. It says: this is how much money the government expects to receive, and this is how the government plans to spend it. That is all a budget is. A plan for money. Your money. Tax revenue, oil revenue, customs duties, borrowing — every naira the government touches comes from somewhere, and that somewhere is you.

Here is how to read it.

First, find the total. How much is the government planning to spend this year? The 2025 budget, for example, was approximately 35 trillion naira. That number means nothing by itself. But compare it to last year's. Did it go up? By how much? And did the revenue go up by the same amount, or did the government borrow the difference?

Second, find the split. Every budget divides spending into two categories: recurrent and capital. Recurrent expenditure is what it costs to keep the government running — salaries, allowances, overheads, debt servicing. Capital expenditure is what the government builds — roads, hospitals, schools, bridges, power plants. In a healthy budget, capital spending should be significant. In Nigeria's budgets, recurrent spending typically consumes 70 to 80 percent of the total. This means the government spends most of its money on itself.

Third, find debt servicing. This is the line that tells you how much of your money goes to paying back loans the government has already taken. In recent years, Nigeria has spent more on debt servicing than on education and health combined. Read that again. The government pays its creditors more than it pays your children's teachers and your family's doctors.

Fourth, find your state. The budget allocates money to the federal government, but revenue is also shared with states and local governments through the Federation Account. Your state governor receives an allocation every month. That allocation is public information. You can find it on the website of the Revenue Mobilisation Allocation and Fiscal Commission. Compare what your state receives with what your state builds. If the numbers do not match, the difference has a name. The name is corruption.

Fifth, find the MDAs. These are Ministries, Departments, and Agencies. Each one has its own budget line. The Ministry of Defence. The Ministry of Education. The Ministry of Health. NNPC. CBN. INEC. Each one tells you what the government prioritizes. A government that spends more on the military than on schools has made a choice. A government that allocates more to the presidency than to agriculture has made a choice. These choices are not hidden. They are published. They are just unread.

The Fiscal Responsibility Act of 2007 requires the government to publish the budget and make it accessible to citizens. The Freedom of Information Act gives you the right to request detailed breakdowns. These are not abstract rights. They are tools. And they are yours.

You do not need an economics degree to read a budget. You need only the willingness to look at the numbers and ask the simplest, most dangerous question a citizen can ask: where did the money go?

The budget is not a secret. It is a confession. It tells you exactly what your government values. All you have to do is read it.

Sources

  • Constitution of the Federal Republic of Nigeria 1999, Sections 80-84 (public revenue and expenditure)
  • Fiscal Responsibility Act 2007, Sections 11-13 (budget preparation and transparency)
  • Freedom of Information Act 2011, Section 1 (right of access to public records)
  • Revenue Mobilisation Allocation and Fiscal Commission, Federation Account reports