The Nigerian Senate has endorsed the proposed ₦140 billion 2026 budget of the South East Development Commission (SEDC), while issuing strong warnings on fiscal discipline, measurable security outcomes and urgent ecological intervention across the region.
The budget was presented by the Managing Director/Chief Executive Officer of SEDC, Mr. Mark Okoye, who outlined a development-driven financial plan anchored on infrastructure renewal, industrialisation, private sector-led growth and regional integration.
Budget Breakdown
Of the ₦140 billion proposal:
₦106.745 billion (76.25%) is allocated to capital expenditure. ₦25.955 billion (18.54%) to recurrent expenditure (excluding personnel). ₦7.3 billion (5.21%) to personnel costs.
The Commission stated that the 2026 budget is structured around five strategic pillars: infrastructure development, economic empowerment, environmental sustainability, social development, and security/peacebuilding.
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Strategic Economic Vision
In his presentation, the MD unveiled a long-term roadmap to build a $200 billion South East economy by 2035. Central to this vision is the establishment of a proposed South East Investment Corporation (SEIC), projected to drive a $150 billion capital base and position the region as Africa’s preferred investment destination.
He disclosed that the Commission is targeting a $1 billion regional investment threshold and intends to structure major infrastructure projects to attract international financing rather than rely solely on federal allocations.
Although the 2025 fiscal year recorded zero capital releases, Okoye explained that the Commission utilised the period to prepare feasibility studies and “bankable documents” to drive large-scale projects, including a proposed regional gas pipeline network estimated to cost between $1.5 billion and $2 billion.
Key Allocations in the 2026 Proposal
Notable provisions include:
Community Social Development Programme – ₦3.3 billion.
South East Venture Capital Fund – ₦3.5 billion.
Youth Entrepreneurship Programme – ₦2.5 billion.
Grassroot Recreation Infrastructure – ₦7 billion.
Headquarters and Zonal Offices Setup – ₦2.9 billion.
Operational Vehicles – ₦4.1 billion.
Climate Sustainability and Green Economy – ₦500 million.
Regional Security Programme – ₦2.5 billion
M.I. Okpara Fellowship (Leadership Development) – ₦660 million.
Senate Raises Security, Erosion Concerns
While commending the clarity and ambition of the proposal, lawmakers raised concerns about spending priorities and measurable impact.
Senator Tony Nwoye stressed that without security, development efforts would not yield meaningful results. He demanded clarity on how the ₦2.5 billion Regional Security Programme would translate into visible improvements, especially in areas severely affected by insecurity. He also sought details on collaboration mechanisms with existing security agencies.
On the ₦3.5 billion South East Venture Capital Fund, Nwoye warned against politicisation, insisting it must operate strictly on merit to support genuine innovators in commercial hubs such as Onitsha, Aba and Nnewi.
Environmental sustainability drew sharp criticism, with lawmakers describing the ₦500 million allocation as grossly inadequate for a region battling thousands of erosion sites, often referred to as Nigeria’s erosion epicentre. Senators urged the Commission to prioritise life-threatening ecological challenges.
Calls for Fiscal Discipline
Senator Kenneth Eze urged the Commission to treat public funds with the discipline of a private enterprise. While praising the Managing Director’s strong presentation, he cautioned against spreading limited resources across too many projects, warning that such an approach could lead to abandoned initiatives.
He advised management to match projects strictly with available resources and focus on realistic, measurable outcomes rather than excessive stakeholder engagements and conferences.
Senator Ezenwa Onyewuchi raised concerns over personnel allocations and sought assurances that staff salaries were being paid promptly, warning that unpaid remuneration could undermine morale and damage the Commission’s public image. He also called for transparency in recruitment processes.
Lawmakers Express Support, Seek Coordination
Senator Victor Umeh described the proposal as visionary and aligned with the historic economic revival model of the South East, expressing confidence in the management team once funds are released.
Senator Emmanuel Nwachukwu emphasised the need for inter-state coordination, particularly in rail connectivity, gas pipelines and industrial park development, stressing that gas infrastructure remains critical to reviving struggling industries in the region.
Senator Anthony Ani noted that the flagship programmes collectively cover all key sectors necessary for regional transformation, urging detailed implementation to ensure tangible results.
Senator Osita Ngwu expressed “absolute confidence” in the leadership of the Commission, acknowledging that foundational institutional work is often the most demanding phase.
The Chairman of the Senate Committee and former Abia State Governor, Orji Uzor Kalu, commended the management for presenting what he described as a “bankable document” capable of attracting global financing institutions.
He emphasised that the Commission was established as a development institution, not a political platform, and reiterated that it was entrusted to the region by President Bola Ahmed Tinubu.
“Our rules are simple compliance, oversight and feedback. This Committee will be ruthless in oversight. We will not look at anybody’s face. This Commission must not be a place for siphoning money. It must rekindle hope and drive economic development,” Kalu said.
He encouraged transparency, collective leadership among executive directors and readiness for oversight visits. He also defended the preparatory feasibility studies, describing them as essential groundwork for attracting institutions such as the World Bank and Afreximbank and for integrating projects into national borrowing frameworks.
Path Forward
Despite losing a full fiscal year to non-release of capital funds, the Senate acknowledged that the Commission used the period to lay structural and strategic foundations.
With legislative backing now secured alongside strong cautions on accountability, security performance and ecological urgency, the ₦140 billion 2026 budget proposal moves forward under close parliamentary scrutiny, as expectations rise for visible development outcomes across the South East.