Oyo State Governor, Seyi Makinde, on Monday signed the state’s N892 billion 2026 Appropriation Bill into law, setting the tone for another year of ambitious infrastructure and social development spending.
The ceremony, held at the Executive Chamber in Ibadan, brought together government officials and lawmakers who applauded the administration’s consistency in meeting budget timelines.
Makinde said the 2026 plan reflects his government’s commitment to “realistic and disciplined budgeting,” adding that Oyo State will continue to strengthen internal revenue generation to reduce dependence on federal allocation. He urged ministries, departments and agencies (MDAs) to align fully with the implementation framework already established by the state.
What he said
In a notable shift, the governor hinted that Oyo may cross the N1 trillion budget mark for the first time through a supplementary appropriation, should revenue projections outperform expectations in 2026.
According to him, “If we experience a windfall or exceed our targets, we will not hesitate to send a supplementary budget to ensure that critical developmental projects are adequately funded.”
The move, if actualised, would position Oyo among a handful of subnationals operating trillion-naira fiscal plans, reflecting growing ambition to expand the state’s economic footprint.
Assembly Lauds Executive-Legislative Harmony
Speaking at the signing event, Speaker of the Oyo State House of Assembly, Rt. Hon. Adebo Ogundoyin, commended the early passage of the budget, describing it as a product of strong collaboration between both arms of government.
He said the legislature prioritised global best practices in public finance management, ensuring that the budget cycle remains predictable and transparent.
Ogundoyin added that the House will intensify its oversight functions to guarantee that the 2026 budget delivers tangible benefits to residents across all zones of the state.
With the budget now in force, implementation begins immediately as the Makinde administration begins its seventh-year fiscal cycle with renewed momentum and an eye on potentially record-breaking spending.
Backstory
Oyo State’s 2026 budget, signed into law at N892 billion, represents significant increase in Governor Seyi Makinde’s steady expansion of the state’s fiscal framework since assuming office.
The trajectory reflects a deliberate move from cautious consolidation to aggressive development spending, anchored on infrastructure renewal, social sector investment and improved revenue mobilisation.
- The shift became more evident in the 2024 fiscal year, when the Makinde administration presented a N434.4 billion budget, almost evenly split between capital expenditure (N222.3 billion) and recurrent spending (N211.8 billion).
- That budget prioritised human capital development, with education taking the largest share at N90.6 billion (20.8%), followed by infrastructure at N74.3 billion (17.1%) and health at N40.9 billion (9.4%).
- The government also projected a significant boost in internally generated revenue, targeting N72 billion annually, an average of N6 billion per month, to reduce dependence on federal allocations.
By 2025, the governor signed into law a N684.15 billion “Budget of Stabilisation”, marking a sharp increase of over 57% from the 2024 figure. Capital expenditure slightly outweighed recurrent spending, reflecting the administration’s emphasis on growth-driving projects. Infrastructure again dominated allocations, receiving over N152.2 billion, while additional funds were approved mid-cycle to accelerate strategic projects such as the 48-kilometre Ido–Ibarapa Road, underscoring the government’s willingness to adjust spending to meet development timelines.
