The Budget Office of the Federation has firmly 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 federal budgeting process.
In a statement issued on Thursday, the Director General of the Budget Office, Tanimu Yakubu, clarified that the N246.77 billion figure associated with the NEDC in the budget is not a personnel-only allocation. Rather, it is a statutory lump-sum provision presented at an aggregate level, in line with standard practices under the Medium-Term Expenditure Framework (MTEF) for statutory and quasi-statutory agencies.
According to the Budget Office, claims that as much as N244 billion of the allocation is meant exclusively for salaries are “factually incorrect.” The office explained that during budget preparation, where agencies have not yet uploaded full internal economic breakdowns, figures may temporarily appear under the Personnel Cost heading as a technical placeholder. This procedural convention does not reflect actual spending intent and is subject to further detailing, legislative review and reallocation during budget execution.
The office also addressed concerns about capital expenditure, noting that the N2.70 billion figure cited by critics arose from a National Assembly-approved restructuring of capital votes in the 2025 budget, with about 70 per cent rolled into the 2026 fiscal year. This, it said, was a legislative decision on the timing of appropriations and does not imply an absence of development projects.
Attached project schedules within the same budget documents, the statement noted, show extensive NEDC interventions across the North East. These include agricultural support programmes, food security initiatives, construction and rehabilitation of orphanages, reconstruction of internally displaced persons (IDP) camps, borehole projects, security logistics support and constituency-level development initiatives.
The Budget Office stressed that focusing on a single budget line while ignoring detailed project schedules amounts to distortion rather than genuine analysis.
It further explained that personnel costs are a normal and necessary component of any development commission, covering professionals such as engineers, project managers, procurement officers, monitoring and evaluation teams, and other oversight staff required to deliver projects effectively.
Reaffirming NEDC’s accountability, the office said the commission operates under established frameworks including the MTEF, annual Appropriation Acts, National Assembly oversight, quarterly budget performance reports and statutory audits.
While welcoming informed public scrutiny, the Budget Office cautioned against spreading misinformation, warning that misunderstanding the budget process should not be turned into public commentary.
“The claim that the NEDC exists merely to pay salaries is unfounded,” the statement concluded, urging commentators to engage responsibly with fiscal information.
