TD Abuja, July 22, 2026 — Public accountability organisation TrackaNG has raised alarm over allocations amounting to ₦22.15 billion in Nigeria’s 2026 federal budget for the construction, renovation, furnishing, and solar installations of 106 palace-related projects nationwide.
The watchdog, part of BudgIT’s civic tech initiative, published screenshots of budget entries showing palace projects embedded across ministries and agencies with no statutory mandate for such work.
The revelations have sparked debate about fiscal priorities, transparency, and constitutional responsibilities in Nigeria’s governance.
Key Findings by TrackaNG
TrackaNG review raises serious accountability concerns:
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11 Palace projects worth N5.85 billion have no identified locations, making public oversight almost impossible.
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None of the 45 implementing MDAs has the statutory mandate to construct palaces.
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Among the agencies budgeted to execute these projects are:
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Nigerian Building and Road Research Institute (N3.92bn)
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Federal Cooperative College, Ibadan (N3.29bn)
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Sheda Science and Technology Complex (N1.54bn)
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National Cereals Research Institute (N427m)
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Industrial Arbitration Panel (N369.4m)
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National Oil Spill Detection and Response Agency (N280m)
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Federal Neuro Psychiatric Hospital, Dawanau (N42m)
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TrackaNG’s review highlighted several troubling aspects of the allocations.
It argued that these allocations blur institutional mandates and risk diverting funds from pressing national priorities.
Constitutional Concerns
The watchdog admitted that traditional institutions play important cultural roles.
However, it stressed that palace construction and renovation are constitutionally the responsibility of state and local governments, not the federal government.
By embedding such projects in the federal budget, TrackaNG warned, the President Bola Ahmed Tinubu-led federal government risks overstepping its mandate and misallocating scarce resources at a time of rising debt and limited fiscal space.
Nigeria’s 2026 budget already faces a ₦31.45 trillion deficit within a ₦68.3 trillion spending plan.
Examples of Projects
Screenshots (shared below) by TrackaNG show allocations such as:
- ₦2.66 billion for “renovation of community halls and palaces” in Lagos, assigned to the Federal Cooperative College under the Ministry of Agriculture.
- ₦1 billion for solar power installations at Oluyin Palace in Ekiti, tagged to the Nigerian Building and Road Research Institute.
- ₦750 million for completion and furnishing of multiple palaces in Kogi State, assigned to the Agricultural Research Council of Nigeria.
- ₦560 million for renovation of Emir palaces in Niger State, listed under the National Horticultural Research Institute.
Critics argue that such projects, while culturally significant, do not align with the mandates of research institutes, colleges, or health facilities.
Public Reaction to the Revelation by TrackaNG
The revelations have triggered widespread debate online and in civic spaces.
Many Nigerians questioned whether palace projects should take precedence over urgent needs such as healthcare, education, and infrastructure.
Civil society groups echoed TrackaNG’s concerns, warning that embedding local projects in federal budgets undermines transparency and accountability.
Some commentators described the allocations as “constituency-style patronage spending disguised as federal projects.”
TrackaNG’s Position
In its statement, TrackaNG emphasized:
“This is not about the importance of our traditional institutions.
“It is about ensuring that public budgets reflect constitutional responsibilities, institutional mandates, and Nigeria’s development priorities.
“The Federal Budget should not become a vehicle for financing projects outside the statutory responsibilities of the institutions implementing them.”
The group called for a lawful, transparent, and development-driven budget, urging Nigerians to demand accountability from their leaders.
Broader Implications
Analysts warn that the palace allocations highlight systemic weaknesses in Nigeria’s budgeting process, where projects are often inserted without clear mandates or oversight.
Such practices risk eroding public trust and worsening fiscal strain.
With Nigeria’s debt burden rising and citizens facing economic hardship, critics argue that every naira must be directed toward projects that deliver measurable development outcomes.
The ₦22.15 billion palace allocations have become a flashpoint in Nigeria’s 2026 budget debate.
While traditional institutions remain culturally vital, TrackaNG insists that federal funds must be reserved for national priorities within lawful mandates.
As scrutiny intensifies, the controversy underscores the urgent need for reforms in Nigeria’s budgeting process.
This, TrackaNG argues, will ensure transparency, accountability, and alignment with constitutional responsibilities.
