The Nigerian Senate has approved another extension of the implementation period for the capital component of the 2025 Appropriation Act, moving the deadline from September 30 to December 31, 2026.
The extension was approved on Tuesday after lawmakers considered and passed a bill sponsored by Senate Leader Opeyemi Bamidele. The legislation, numbered SB 1067, seeks to provide additional time for Ministries, Departments and Agencies (MDAs) to complete ongoing capital projects and utilise funds already appropriated and released.
Bamidele said the extension was necessary because the implementation of capital projects under the 2025 budget had not reached optimal levels despite the release of funds to government agencies. He said the additional period would allow the completion of critical projects already at advanced stages.
The Senate Leader also said the extension would help sustain economic activity, support local contractors, improve the utilisation of released funds and enhance public service delivery.
Senate President Godswill Akpabio also supported the extension, warning against allowing projects to become abandoned because contractors had not completed their work or received full payment.
The decision is significant because it represents the fourth extension of the 2025 capital budget implementation timeline. The deadline was initially extended to March 31, 2026, then to June 30 and subsequently to September 30.
The House of Representatives also approved the extension on Tuesday, moving the capital implementation deadline to December 31, 2026. Majority Leader Julius Ihonvbere said economic factors had made it difficult to complete implementation within the existing timeframe.
The latest extension means funds appropriated under the 2025 capital budget will remain available for implementation until the end of December, subject to the required legal process.
The development also revives debate over Nigeria’s overlapping budget cycles. President Bola Tinubu had previously pledged that his administration would end the practice and operate within a single budget cycle. The latest extension, however, keeps parts of the 2025 capital budget active into the 2026 fiscal year.
