The Ondo state government has expressed its readiness to streamline and prepare realistic budget for the 2026 fiscal year, in a bid to align it’s financial plans with available and accessible funding sources.
Disclosing this at the consultative meeting with stakeholders on the 2026-2028 medium term Expenditure framework (MTEF) and 2026 budget organised by the state Ministry of Economic Planning and Budget, Governor Lucky Aiyedatiwa said the state was focusing on hinging its budget on funds the state is sure of accessing.
The state government attributed the decision to poor budgeting performance as a result of non-payment by foreign development funding organizations for implementation of the 2025 budget.
It would be recalled that the state’s 2025 annual budget was (Grand Total) N:698,659,496,000. The Capital Expenditure was N433,622,000, which was 63.07 percent of the total budget, while the Recurrent Expenditure was N222,168,420,000.
In his address, the governor, who was represented by the state Commissioner for Economic Planning and Budget, Mr. ‘Laolu Akindolire, explained that the state government would be looking at preparing a sizable budget that is within the financial strength of the state.
He disclosed that the state would no longer hing the funding of its budget on development funding which he explained are too cumbersome to access.
The commissioner said: “When we looked at the 2025 capital budget, it’s just too unrealistic. A capital budget of N433 billion, how do you fund it?.
“This is what brought about the need to prepare a more realistic budget that would be well funded. Such that we would be able to perform about 70 to 80 percent.
“It’s not the size of a budget that matters, it’s the ability to fund it and to perform to meet the aspirations of our people. When we put the figures together, we want to see what we can actually get. That’s what we are relying on for the preparation of the 2026 budget.
“The procedure of obtaining funding from most international development organizations is very clumsy. Most of the time, the money does not come. And when we have prepared the budget with it, it leads to poor funding and ends in poor budgeting performance.
“Now we want to look at those that we are really sure of getting in the course of the year. If additional comes, it’s okay.”
Reeling out some items on the proposal for 2026, the Administrative Secretary of the Ministry, Pastor Stephen Aworere disclosed that the 2026 budget was designed in line with World Bank advisory -global market and how it will impact on Nigeria’s economy in 2026.
According to Aworere, for 2026, the World Bank pegs Nigeria’s National Gross Domestic Production(GDP) at 3.40 percent. It puts inflation in Nigeria at 24.00 percent. The crude oil price was also pegged at $70 per barrel.
Speaking on the contributions of the stakeholders in attendance, Akindolire assured that their contributions would be given attention before the final copy of the budget is submitted .
He said: “The contributions of the stakeholders are very valuable and we have noted their suggestions. We shall make sure we consider them before presenting the final budget.”
In the face of the budget cut, the state government, among others, would be focusing on improving food production.
It would also be focusing on human capital development, and security would be well funded.
In his explanation, Aworere said the educational curriculum of secondary schools in the state would be redesigned to equip secondary school students with skills that would make them self-reliant when they are through from school.
He said: “Apart from channeling the little available fund on the focused areas, including agriculture, education, and others, there would be allocative efficiency.
“There’s a new concept about secondary school. The curriculum of secondary schools would be changed over time to include skills at secondary level.
“They will get their normal O’Level certificate but they will also get certification for skills like plumbing, welding, brick-laying, electric works among others. They will be part of our secondary school curriculum so that if somebody leaves secondary school, he or she becomes self-reliant without even going to the University.”
Speaking on development funding organizations, Mr. Aworere disclosed that “There’s going to be a lot screening of the development funding organizations. It’s only the most credible that will be admitted into the budget.”
The commissioner, therefore, assured that: “Most of rural communities are going to benefit from the World Bank Projects such as construction of rural roads, markets to make it easy for farmers to transport their farm produce to city centres.
“We will continue to fund the security, particularly the Amotekun Corps for the security of life and property.”
Stakeholders engaged by the Ministry include students bodies, youth parliament different cluster groups of People With Disabilities (PWDs), market women and men, different women organizations, CBOs, CSOs,NGOs, Organized private sector among others.
