The Budget Office of the Federation has categorically rejected recent claims alleging that the North East Development Commission (NEDC) operates a ₦246 billion “salaries budget.”
A statement signed by the Director General, Budget Office of the Federation, Tanimu Yakubu, said “This assertion is misleading, inaccurate, and rooted in a fundamental misunderstanding of the Federal Government of Nigeria’s budgeting framework.
“Contrary to claims circulating in the public domain, the ₦246.77 billion reflected against the NEDC in the budget is not a salaries-only allocation”.
He explained that what is being circulated is a statutory lump-sum provision, initially presented at an aggregate level, consistent with established budget preparation practices for statutory and quasi-statutory bodies under the Medium-Term Expenditure Framework (MTEF).
“The suggestion that ₦244 billion of this allocation is earmarked solely for personnel costs is factually incorrect. During budget preparation, where agencies do not submit complete internal economic breakdowns at the point of upload, allocations may temporarily appear under the Personnel Cost heading as a technical placeholder”.
Yakubu maintained that “this is a recognised procedural convention pending detailed submissions, legislative adjustments, and approved reallocations during budget execution.
“This technical presentation must not be confused with spending intent” He emphasized.
‘Selective reading of budget’
Speaking on capital expenditure, the Office explained that the ₦2.70 billion cited in public commentary reflects the National Assembly’s approved rephrasing of capital votes in the 2025 budget, with approximately 70 per cent rolled into the 2026 fiscal year.
“Indeed, project schedules attached to the same budget documents show multiple ongoing interventions across the North East, including agricultural support programmes, food security initiatives, orphanage construction and rehabilitation, IDP camp reconstruction, boreholes, security logistics, and constituency-level development projects”.
He warned against “selective reading of a single budget line while ignoring accompanying schedules is not analysis—it is a distortion.
“Personnel costs within a development commission are neither unusual nor improper. They fund engineers, procurement officers, project managers, monitoring and evaluation teams, and fiduciary oversight required to design, supervise, and deliver projects effectively. No development institution executes its mandate without institutional capacity”
According to Yakubu, the NEDC operates within well-defined accountability frameworks, including the MTEF, annual appropriation acts, National Assembly oversight, quarterly budget performance reporting, and statutory audits.
While noting that genuine public scrutiny is welcomed and encouraged, he stressed that it must be informed by an understanding of how the budget system works.
The Budget Office urges commentators and members of the public to engage responsibly with fiscal information.