The Kano State House of Assembly voted to lower the state’s 2026 spending plan by roughly N276 billion, a move driven by unexpected gaps in federal revenue. Nairametrics reported that the News Agency of Nigeria confirmed the decision on Monday, October 19, after the House Committee on Appropriation reviewed the 2026 Appropriation Amendment Bill. This legislative change adjusts the total budget from over N1.47 trillion down to N1.21 trillion, marking an 18.7% decrease intended to match expenditure with actual income.
Abdulhamid Abdul-Minjibir, who chairs the House Committee on Appropriation, identified lower-than-anticipated inflows from the Federation Account Allocation Committee as the primary cause. He explained that federal tax reforms and broader economic conditions had undermined the revenue assumptions used for the original budget. According to Nairametrics, Abdul-Minjibir argued that this revision would preserve fiscal discipline, reduce reliance on debt, and focus funds on key development initiatives.
The new budget allocates N390 billion for recurring administrative costs, while N820 billion is reserved for capital projects such as infrastructure. Nairametrics’ analysis of the initial budget shows the government had projected N909.94 billion in federal revenue, which accounted for 62% of the original plan. However, data for the first half of 2026 indicates Kano received only N152.57 billion, a sum that suggests annual receipts will fall well below the initial target if current rates persist.
Although federal receipts rose by 27.09% compared to the same period last year, the total remains insufficient to meet the original annual forecast. This heavy dependence on federal funds may impact infrastructure delivery, as the government had initially planned for over N1 trillion in capital spending. The revised figure of N820 billion could limit resources for major projects approved earlier this year, including water treatment upgrades and the construction of ICT centres across the state’s 44 local government areas.