By Grace Alegba
The Centre for the Promotion of Private Enterprise (CPPE) has expressed cautious optimism that ongoing fiscal reforms will improve implementation of the N68.32 trillion 2026 Appropriation Act.
Dr Muda Yusuf, CPPE’s Chief Executive Officer, spoke in an interview with the News Agency of Nigeria (NAN).
He was reacting to the assent by President Bola Tinubu to the 2026 budget and extension of 2025 budget implementation to June 30.
The economist said reforms in tax administration and revenue remittance directives could boost earnings and support budget execution.
He noted improved compliance and direct remittance to federation account would enhance transparency and reduce leakages.
Yusuf said these measures could address persistent revenue shortfalls that had undermined previous budget implementation.
“The key issue is implementation, and reforms are central to improving revenue mobilisation and execution capacity,” he said.
He added that expected revenue gains, including possible external windfalls, could further strengthen government funding for critical projects.
He said extension of the 2025 budget reflected past implementation challenges but provided opportunity to complete ongoing projects.
He stressed that aligning budget assumptions with realistic revenue projections remained critical to avoid future rollovers.
According to him, fiscal reforms offer a pathway to more credible budgeting and improved delivery of capital projects.
He described the plan to allocate about 50 per cent budget to capital expenditure as ambitious but achievable with stronger revenues.
Yusuf said actual performance would depend on sustained reform implementation and prudent fiscal management.
He called for continued efforts to reduce high cost of debt servicing, estimated at about N15 trillion, to create fiscal space.
The economist also advocated increased use of Public-Private Partnerships to complement government funding of infrastructure projects.
Yusuf noted that reducing reliance on public funds through private sector participation would ease pressure on government finances.
“Government does not have to fund everything. There are projects that the private sector can participate in, which would reduce burden,” he said.
He expressed confidence that with consistent reforms, the 2026 budget could deliver better outcomes than previous fiscal cycles.
He stressed that realistic assumptions and improved fiscal discipline were critical to avoiding recurring implementation delays and rollovers.
Yusuf also noted that sub-national governments fared better due to improved revenues, while Federal Government faced greater fiscal pressures.
President Tinubu signed the N68.32 trillion 2026 Appropriation Bill into law alongside approval extending 2025 budget timeline.(NAN)(www.nannews.ng)
Edited by Kamal Tayo Oropo
