Presidency defends delay in budget reports, says fiscal year Is determined by law, not calendar dates

The Presidency has defended the delayed publication of recent Quarterly Budget Implementation Reports, insisting that Nigeria’s fiscal year is defined by legal authorisation and not strictly by the January-to-December calendar cycle.

In a statement issued on Sunday, the Director-General of the Budget Office of the Federation, Tanimu Yakubu, said concerns raised by members of the public over the publication timeline were understandable but required clarification within the framework of Nigeria’s constitutional and statutory financial system.

Yakubu explained that while the calendar year remains fixed between January and December, a fiscal year operates differently because it is shaped by legislation and appropriation laws passed by the National Assembly.

“The fiscal year is not automatically coextensive with the calendar year,” the statement noted.

According to the Budget Office, government spending authority can legally extend beyond a twelve-month period whenever such extensions are backed by law or appropriation instruments.

“Where an Appropriation Act or other lawful instrument authorizes expenditure or extends implementation beyond twelve months, the operative fiscal period takes on that legally prescribed duration,” the statement said.

The Presidency explained that Nigeria has on several occasions adjusted its fiscal implementation timelines through supplementary budgets, rollover approvals, continuing resolutions and re-enacted appropriation laws.

“In practice, the Federal Government has at times departed from a strict January–December cycle through statutory extensions, supplementary appropriations, continuing resolutions, rollover authorizations, and Appropriation (Repeal and Re-enactment) Acts,” it stated.

The statement linked the recent delay in budget reporting to the repeal and re-enactment of the 2025 Appropriation Act, which was concluded in December 2025 and extended the implementation period of the budget to June 2026.

“The recent change in our publication timetable stems principally from the Repeal and Re-enactment of the 2025 Appropriation Act, concluded in December 2025, and the consequent extension of the 2025 Budget implementation period to June 2026,” the statement explained.

“Those measures legally extended the operational lifecycle of the 2025 Budget beyond a single calendar year.

“Thus, in substance and in law, the fiscal year is a legislatively sustained expenditure window rather than an immutable chronological interval,” it added.

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The Presidency further argued that Nigeria’s approach aligns with international practice, noting that several major economies operate fiscal years that differ from the regular calendar year.

“This distinction reflects accepted comparative practice: for example, the U.S. federal fiscal year runs from October 1 to September 30, and India’s fiscal year runs from April 1 to March 31—each defined by statute and policy considerations, not the Gregorian calendar,” the statement noted.

The Budget Office also referenced constitutional provisions governing public spending in Nigeria, stressing that expenditure remains valid as long as it is backed by legislative approval.

“Our Constitution likewise places primary emphasis on legislative authorization for public spending. Sections 80 and 81 of the Constitution require that withdrawals from the Consolidated Revenue Fund be authorized by an Appropriation Act or other law duly enacted by the National Assembly,” it stated.

“When the National Assembly lawfully extends or re-enacts expenditure authority, that authority remains valid and enforceable until it expires under law. Judicial authorities in Commonwealth jurisprudence have consistently affirmed the supremacy of legislative authorization in public expenditure matters,” the statement added.

The Presidency said flexible implementation periods had become necessary globally, especially during periods of economic disruption such as the COVID-19 pandemic, when many countries adjusted budget cycles to address procurement delays and economic instability.

“History and recent experience underscore the practical rationale for such flexibility. During economic disruptions, including the post-COVID-19 period, many jurisdictions extended budget implementation windows to manage procurement delays, revenue volatility, and the continuity of capital projects,” the statement read.

According to the Budget Office, Nigeria adopted similar measures to prevent project abandonment, maintain contractor liquidity and preserve economic stability.

“Nigeria has likewise extended implementation periods to avoid project abandonment, protect contractor liquidity, preserve jobs, and safeguard macro-fiscal stability. These actions do not create constitutional problems; they reflect the fact that fiscal authority derives from law,” it stated.

The agency further disclosed that following the re-enactment of the 2025 budget, it commenced extensive reconciliation processes involving revenue performance, expenditure alignment, financing, debt management and inter-agency coordination before releasing the reports.

“Following the Repeal and Re-enactment of the 2025 Appropriation Act and the extension to June 2026, the Budget Office undertook comprehensive reconciliations—covering revenue performance, cash management, expenditure alignment, debt and financing, and inter-agency coordination—to ensure the accuracy, integrity, completeness, and audit consistency of the Quarterly Budget Implementation Reports,” the statement said.

The Budget Office assured Nigerians that the outstanding reports would soon be released in stages.

“The outstanding Quarterly Budget Implementation Reports are being finalized and will be released in phases over the coming weeks,” it added.

The Presidency also announced plans to strengthen its fiscal reporting systems through improved digital infrastructure and better institutional coordination.

“At the same time, the Budget Office is strengthening its digital reporting architecture, data harmonization systems, and institutional coordination to deliver timelier, more comprehensive, and analytically robust fiscal reporting in line with international best practices,” the statement concluded.

The Federal Government reaffirmed its commitment to transparency, fiscal discipline and accountable management of public finances in accordance with constitutional provisions and existing laws.

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