The Federation Account Allocation Committee has approved the release of N11.5bn from the 0.5 per cent Stabilisation Fund to support the activities of its sub-committees responsible for preparing the framework for Nigeria’s 2026 national budget.
According The PUNCH, the withdrawal was authorised by the Minister of Finance and Coordinating Minister of the Economy, Wale Edun, to enable the committees carry out technical work related to the development of the fiscal plan.
Records from the Stabilisation Fund account show that N11,500,000,000.01 was transferred on January 28, 2026, specifically to facilitate the operations of FAAC sub-committees tasked with drafting proposals for the 2026 budget.
A section of the document states that “the transfer represents the amount approved by the Honourable Minister of Finance and Coordinating Minister of the Economy in favour of various FAAC sub-committees for the preparation of the 2026 proposed budget.”
The account statement further indicated that before the withdrawal, the Stabilisation Fund had a cumulative balance of N61.11bn. Previous deductions included N7.89bn approved to fund the operations of the National Economic Council Secretariat for the 2025 fiscal year.
Following the N11.5bn withdrawal, the account balance dropped temporarily to N49.61bn. However, additional inflows and financial adjustments later increased the balance.
By February 20, 2026, the document showed the Stabilisation Fund account had risen to N54.27bn, due largely to monthly allocations and refunds linked to the 13 per cent derivation revenue for Bayelsa State.
President Bola Tinubu had earlier presented the N58.18tn Appropriation Bill for 2026 to a joint session of the National Assembly in December 2025.
The spending proposal, tagged “Budget of Consolidation, Renewed Resilience and Shared Prosperity,” outlines the government’s fiscal priorities for the year.
The budget framework is built on several key assumptions, including an oil benchmark of about $64.85 per barrel and an exchange rate projection of roughly N1,400 to one dollar.
Following its presentation, the proposal passed the second reading in both chambers of the National Assembly, after which it was referred to various committees for detailed examination.
During the ongoing budget defence sessions, ministries, departments and agencies are appearing before lawmakers to justify their proposed allocations.
Legislators are also reviewing revenue projections and scrutinising expenditure proposals to ensure they align with government priorities.
“The committee stage allows lawmakers to review the details of the budget, request clarifications and recommend adjustments where necessary before the final appropriation is approved,” a legislative official familiar with the process said.
After the defence sessions are concluded, reports from the committees will be harmonised by the appropriation committees of both chambers before being presented for final consideration.
The Senate is expected to consider and possibly pass the budget around March 17, 2026, after which the bill will be transmitted to the President for assent.
The documents also revealed other financial transactions within the Stabilisation Fund, including transfers to the Nigerian Sovereign Investment Authority and payments linked to a forensic audit of the former Nigerian National Petroleum Corporation covering 2015 to 2023.
The Stabilisation Fund is part of the Federation Account, which pools revenues generated by the Federal Government—mainly from oil and gas—before distribution to the federal, state and local governments through FAAC.
