By Ayo Ayodele
The Budget Office of the Federation has dismissed claims that the North East Development Commission (NEDC) operates a ₦246 billion salaries budget, describing the allegation as misleading and based on a poor understanding of Nigeria’s budgeting process.
In a statement issued in Abuja on Thursday, the Director General of the Budget Office, Tanimu Yakubu, clarified that the ₦246.77 billion reflected against the NEDC in the federal budget is not a personnel-only allocation. Rather, it is a statutory lump-sum provision presented at an aggregate level in line with standard budget preparation practices under the Medium-Term Expenditure Framework (MTEF).
According to the Budget Office, claims that as much as ₦244 billion of the allocation is dedicated solely to salaries are factually incorrect. The office explained that during budget preparation, where agencies have not submitted full internal economic breakdowns at the time of upload, allocations may temporarily appear under the personnel cost heading as a technical placeholder.
“This is a recognised procedural convention pending detailed submissions, legislative adjustments, and approved reallocations during budget execution,” the statement said, stressing that such technical presentation should not be mistaken for actual spending intent.
The Budget Office also addressed public commentary suggesting minimal capital expenditure by the NEDC. It noted that the ₦2.70 billion figure cited for capital projects reflects a National Assembly decision to rephase capital votes in the 2025 budget, with about 70 per cent deferred to the 2026 fiscal year.
“This legislative decision on the timing of appropriations does not imply an absence of development projects,” the office stated.
It added that budget documents contain detailed project schedules showing ongoing interventions across the North East, including agricultural and food security programmes, construction and rehabilitation of orphanages, reconstruction of internally displaced persons (IDP) camps, provision of boreholes, security logistics, and constituency-level development projects.
The Budget Office further defended the inclusion of personnel costs in a development commission’s budget, noting that such costs support engineers, project managers, procurement officers, and monitoring and evaluation teams essential for effective project delivery.
Reaffirming the NEDC’s accountability mechanisms, the office said the commission operates under the MTEF, annual Appropriation Acts, National Assembly oversight, quarterly budget performance reporting, and statutory audits.
While welcoming public scrutiny, the Budget Office urged commentators to engage responsibly with fiscal information, warning that selective interpretation of budget lines without reference to supporting documents amounts to distortion.
“The claim that the NEDC exists merely to pay salaries is unfounded,” the statement concluded, cautioning against the spread of misinformation about the federal budgeting process.