State governments received at least N435.25 billion through a special funding stream for infrastructure and security between January and June 2026, according to an analysis of available half-year budget reports.
The figure, compiled from budget performance reports for 32 states and analyzed from data published on Open Nigerian States, represents money recorded by 29 states either directly under the “State Infrastructure and Security” revenue heading or under separately identified FAAC-related revenue.
The funding is different from the conventional statutory allocation states receive from the Federation Account. It also marks a significant change from the same period in 2025, when no allocation was recorded under the dedicated infrastructure and security window.
The additional revenue comes at a time when states are under growing pressure to improve roads, schools, hospitals, water supply and other infrastructure while responding to insecurity caused by kidnapping, banditry and attacks on communities.
How the N435bn was shared
Of the 32 states for which usable data was available, 16 states clearly identified the money as State Infrastructure and Security revenue, collectively reporting N265.50bn.
Another 13 states recorded N169.75bn as other separately disclosed FAAC-related revenue, although their budget documents did not specifically label the receipts as infrastructure and security funding.
Together, the identifiable receipts from the 29 states amounted to N435.25bn.
The actual figure could be higher because four states, Bayelsa, Edo, Osun and Rivers, were not included in the available dataset. Akwa Ibom was reviewed but its half-year report did not disclose the relevant figure.
Adamawa, Anambra and Oyo reported no actual receipts under the dedicated infrastructure and security heading during the six-month period. Adamawa and Anambra, however, had made budget provisions for the funding, while Oyo had projected an N8bn receipt.
Enugu, Gombe among biggest beneficiaries
Among the 16 states that separately identified the infrastructure and security allocation, Enugu recorded the highest receipt at N27.02bn, followed by Gombe with N24.50bn.
Jigawa, Katsina and Ogun each recorded N19.50bn, while Cross River and Yobe received N17.50bn apiece.
Borno recorded N16.41bn, while Bauchi received N14.58bn.
Ebonyi, Imo, Kano, Kwara and Taraba each reported N14bn, with Sokoto receiving N12.50bn.
Kogi recorded the lowest identifiable receipt among the 16 states, at N7bn.
When states that classified the money differently are included, Ondo recorded N31.86bn, while Lagos received N30.30bn.
Other notable receipts included Abia with N24.50bn, Nasarawa with N21.24bn, Niger with N15.50bn, and Benue and Plateau with N14bn each.
Delta recorded N5.50bn, Ekiti N5.38bn, Kaduna N3.83bn, Kebbi N1.95bn and Zamfara N1.71bn.
The 16 states with clearly identified infrastructure and security receipts accounted for roughly 61 per cent of the N435.25bn identified, while the other 13 states accounted for about 39 per cent.
Some states already exceeding annual estimates
The budget performance figures also show that some states received substantially more than they had originally projected for the entire year.
Gombe is the clearest example. The state recorded N24.50bn in the first six months against an annual budget provision of just N5bn, meaning its receipts had reached 490 per cent of the full-year estimate.
Bauchi received N14.58bn against a N16.84bn provision, representing 86.6 per cent performance.
Jigawa recorded receipts equivalent to 65 per cent of its N30bn annual projection, while Yobe received N17.50bn, or 48 per cent of its N36.49bn estimate.
Ogun recorded N19.50bn against a N51.28bn budget, representing 38 per cent.
Enugu received N27.02bn out of its N80bn provision, or 33.8 per cent, while Borno recorded N16.41bn against N49.44bn, representing 33.2 per cent.
Katsina’s N19.50bn receipt represented 32.4 per cent of its N60.27bn annual projection.
Kwara recorded 28.2 per cent performance after receiving N14bn out of N49.62bn, while Kano’s N14bn receipt represented 22.9 per cent of its N61.07bn budget.
Kogi received N7bn against a N39.19bn provision, representing 17.9 per cent.
Taraba’s N14bn receipt represented 17.3 per cent of its N80.70bn budget, while Ebonyi received N14bn out of N88.41bn, or 15.8 per cent.
Sokoto recorded one of the lowest performances, receiving N12.50bn against a revised N90bn projection, representing 13.9 per cent.
Adamawa and Anambra recorded no actual receipts under the dedicated heading despite budgeting N35.23bn and N10bn respectively, leaving both states with a 100 per cent funding shortfall under that revenue line.
Why the money matters
The latest funding comes against the backdrop of Nigeria’s worsening security challenges.
Between March 2024 and May 2026, at least 603 pupils, students and teachers were abducted in seven mass school kidnappings, despite the government’s N145bn Safe Schools Initiative.
The Federal Government has responded with measures including plans to expand the Nigerian Army from eight to 12 divisions and recruit an additional 28,000 soldiers.
States, meanwhile, have increasingly been expected to complement federal security efforts while funding infrastructure projects within their jurisdictions.
The special funding arrangement dates back to July 2023, when President Bola Tinubu approved the Infrastructure Support Fund for the 36 states following the removal of the petrol subsidy.
The intervention was designed to help states finance roads, agriculture, healthcare, education, electricity, water and other critical projects.
Previous reporting had shown that states and the Federal Capital Territory received about N1.6tn for infrastructure and security projects between March 2024 and May 2025.
Experts call for transparency
Chief Executive Officer of the Centre for the Promotion of Private Enterprise, Muda Yusuf, described the growing flow of funds to states as a positive development because it could strengthen fiscal decentralisation.
However, he warned that the benefits would depend heavily on how governments spend the money.
According to Yusuf, states should direct the additional resources towards projects that have a clear impact on residents rather than spending on ventures with questionable economic value.
He also called for stronger citizen oversight, arguing that state governments should be required to explain how such funds are used.
Economic analyst Aliyu Ilias similarly welcomed the decision to link funding to specific purposes but urged citizens and civil society organisations to monitor spending.
He said states should give greater attention to agriculture and food production alongside infrastructure and security, particularly as food costs continue to put pressure on household incomes.
Governors acknowledge stronger state finances
Several state governors have publicly acknowledged that recent federal fiscal reforms and increased allocations have improved their financial capacity.
Enugu Governor Peter Mbah said the additional resources available to subnational governments had helped his administration undertake infrastructure projects on a larger scale.
Delta Governor Sheriff Oborevwori has also acknowledged the increase in funds available to states, urging governors to use the additional resources to improve conditions for their residents.
In Bayelsa, Governor Douye Diri credited federal policy interventions with supporting the state’s efforts to develop a 60-megawatt gas-fired power project.
Nasarawa Governor Abdullahi Sule described the increase in federation revenue as unprecedented, while arguing that greater financial resources also mean greater responsibility for state governments to address security and development challenges.
Kaduna Governor Uba Sani has likewise praised the scale of federal infrastructure commitments to his state.
The Nigerian Governors Forum has also expressed support for fiscal reforms aimed at strengthening state finances, improving internally generated revenue and expanding public service delivery.
More money, but greater scrutiny
The N435.25bn identified in the available accounts is equivalent to nearly 10 per cent of the N4.55tn in federation allocations received by the states with available half-year records.
It also represents about 20.7 per cent of their N2.10tn internally generated revenue and 6.55 per cent of their combined FAAC and independent revenue of N6.65tn during the period.
But the increase in funding also raises questions about accountability.
With states receiving more resources at a time of severe infrastructure and security challenges, the key test will be whether the money results in better roads, functioning schools and hospitals, safer communities and stronger local economies.
For residents, the issue is no longer simply how much money states receive, but where the money goes and what changes people can actually see.
