The Senate has defended the economic reforms introduced by President Bola Tinubu, describing them as difficult but necessary measures that are beginning to create a foundation for long-term stability and inclusive development.
Chairman of the Senate Committee on Appropriations, Senator Solomon Adeola, made the remarks on Monday during a public hearing on the 2026 Appropriation Bill at the National Assembly in Abuja. He said Nigeria was entering a new phase of consolidation after a period of tough structural adjustments.
According to Adeola, the Federal Government’s policies over the past two and a half years rank among the most far-reaching economic changes in recent times and were unavoidable if the country was to address deep-rooted weaknesses and rebuild investor confidence.
He described the budget hearing as a crucial forum for ensuring that reform policies translate into practical outcomes that improve lives, rather than a routine parliamentary exercise.
The lawmaker commended President Tinubu’s leadership, noting that the 2026 fiscal plan, titled Budget of Consolidation, Renewed Resilience and Shared Prosperity, was designed to preserve reform gains and promote sustainable, broad-based growth.
Adeola said the President had acknowledged the temporary hardship faced by citizens but remained convinced that the sacrifices would deliver long-term economic stability. He listed major reform areas to include exchange rate unification, deregulation of the downstream petroleum sector, tax restructuring and public finance reforms, adding that the National Assembly’s responsibility was to ensure proper implementation through the budget process.
He argued that early signs of improvement were emerging, citing easing inflation, stronger foreign reserves, exchange rate stability and a fully liberalised petroleum market. He also pointed to ongoing infrastructure expansion, including hundreds of road projects and major rail developments, as evidence of reinvestment made possible by reform-driven revenue gains.
Adeola added that increased government earnings had boosted allocations to states and local governments, while international institutions such as the World Bank had acknowledged progress in restoring fiscal discipline and transparency.
On the structure of the 2026 budget, the senator said the guiding theme, From Budget to Impact, emphasises the need to convert fiscal projections into measurable improvements in security, infrastructure, livelihoods and investment confidence.
He disclosed that the budget framework was built on macroeconomic assumptions that include moderate inflation, stable exchange rates, increased oil production and a benchmark crude price in the mid-$60 range. The committee, he said, would subject these projections to detailed scrutiny and maintain strict oversight of implementation.
Adeola outlined total projected revenue of over ₦33 trillion against planned expenditure of about ₦58 trillion, resulting in a deficit exceeding ₦25 trillion. A significant share of spending is earmarked for debt servicing, recurrent costs and capital projects, with strong emphasis on infrastructure and productivity-enhancing investments.
Sectoral priorities include defence and security, infrastructure, education and healthcare, areas he said are critical to improving safety, attracting private capital and raising living standards.
Despite fiscal pressures, the senator expressed confidence that the administration could manage revenue and debt challenges while advancing structural reforms. He added that the 2026 budget was intentionally aligned with the Nigeria First Policy, aimed at supporting locally owned businesses by prioritising Nigerian firms, especially small and medium enterprises, in public procurement and government-funded projects.
