By Reloaded News Editorial Board
Nigeria’s state governments have received a substantial increase in public revenue over the past two years. Are Nigerians getting enough in return.
The World Bank’s latest Nigeria Development Update, released on October 8, 2026, provides figures that deserve serious attention. Between 2023 and 2025, state revenues increased by about 93 per cent in real terms. State expenditure rose by approximately 92 per cent over the same period.
These are significant increases that create an opportunity for state governments to improve roads, schools, hospitals, water supply and other services that directly affect people’s lives.
But more money passing through government accounts is not the same as more development.
Across Nigeria, citizens have every reason to ask what additional public revenue has delivered in their communities. Has access to healthcare improved? Are public schools better equipped? Have rural roads become more accessible? Is clean water easier to obtain? Are government investments creating productive opportunities for young people?
These are not unreasonable demands. They are the questions that should accompany every budget announcement and every claim of economic progress.
The World Bank report shows that state governments have increased their investment in economic infrastructure. Capital expenditure accounted for 61 per cent of total state spending in 2025, compared with 46 per cent in 2023. Transport infrastructure recorded the largest increase, alongside spending on housing, agriculture and other areas.
There is a strong case for such investments. Good roads connect farmers to markets, reduce the cost of moving goods and make it easier for businesses to operate. Infrastructure can create jobs and support economic activity.
But infrastructure must not become an excuse to neglect the people it is supposed to serve.
The same report shows that education’s share of total state expenditure fell from 14.9 per cent in 2021 to 12.1 per cent in 2025. Health spending remained broadly stable at around 7 per cent, while social protection’s share increased from 1.4 per cent to 4.4 per cent.
The decline in education’s share does not mean that education spending fell in absolute terms. The World Bank says spending on education and health also increased, but grew more slowly than expenditure on economic infrastructure. Nevertheless, the changing proportions raise legitimate questions about government priorities.
A state can build roads and still fail its children if classrooms lack essential facilities. It can announce new infrastructure while patients continue to struggle with inadequate public healthcare. Development requires physical assets, but it also requires investment in human beings.
The people must not become an afterthought in the pursuit of economic growth.
There is another reason why accountability matters now. Nigeria’s economic difficulties have not disappeared simply because public revenues have improved.
The World Bank reported that the economy grew by 4.2 per cent in the first half of 2026 and that the poverty rate stabilised for the first time since 2019. These are encouraging developments, but stabilisation is not the same as a decisive reduction in poverty. Inflation remains elevated, and household purchasing power continues to face pressure.
For families dealing with expensive food, transport, electricity and other essentials, economic progress is ultimately measured by what they can afford, the opportunities available to them and the quality of services they receive.
State governments have a particularly important role because many of these services fall directly within their responsibilities or those of local governments.
They should therefore be prepared to show Nigerians how additional revenue is being used. Budgets should be accessible, project costs should be disclosed, completed projects should be verifiable, and public officials should explain why important commitments have not been met.
Legislatures must exercise meaningful oversight. Auditors must scrutinise expenditure. Civil society and the media must follow the money and examine the results. Citizens must also demand evidence rather than settle for announcements, ceremonies and photographs of newly commissioned projects.
This is not an argument against infrastructure or government investment. It is an argument for judging both by their actual value to the public.
A road that improves access to markets has value. A functioning hospital has value. A school that gives children a better chance in life has value. Spending billions of naira on a project that delivers little public benefit should never be accepted simply because the money has been spent.
The Federal Government also has a responsibility to sustain sound economic policies and demonstrate that its own spending improves public welfare. But state governments must answer for their own choices. They cannot claim credit for increased allocations while avoiding questions about the quality and effectiveness of their expenditure.
Nigeria does not lack budget announcements. What citizens need is evidence of delivery.
The increase in state revenue offers an opportunity to make tangible progress. Whether that opportunity is used well will depend on the priorities governments set, the discipline with which they spend and the seriousness of the accountability they accept.
The question is no longer simply how much money governments receive. It is what Nigerians get for it.
That is the standard by which state governments should be judged.
#Hashtags:
Reloaded News — NEWS THAT INFORMS. MEDIA THAT TRANSFORMS
