The Federal Government spent N6.47 trillion on strategic infrastructure development between June 2023 and December 2025, with major highway projects accounting for more than half of the expenditure.
An analysis of the newly released Federal Government’s Nigeria Reform Scorecard on savings from fuel subsidy, titled “The Benefits, Costs and Harm Prevented,” showed that the Lagos-Calabar Coastal Highway received the largest allocation among selected strategic infrastructure projects, with N2.23 trillion disbursed for its construction.
The Sokoto-Badagry Superhighway followed with N1.11 trillion, while N489.3 billion was paid for the Trans-Sahara Superhighway.
The three highway projects alone accounted for approximately N3.83 trillion, or about 59% of the N6.47 trillion spent on strategic infrastructure during the period under review.
The scorecard covered the 30-month period between June 2023 and December 2025 and detailed how additional fiscal resources generated or made available through the Federal Government’s economic reforms were deployed.
According to the report, the government recorded incremental expenditure of N30.64 trillion during the period, with strategic infrastructure development accounting for N6.47 trillion.
The figures came after Finance Minister and Coordinating Minister of the Economy, Taiwo Oyedele, disclosed that the removal of petrol subsidy and the unification of the foreign exchange market mobilised N15.8 trillion in additional resources for the Federation.
Oyedele explained that the subsidy savings did not appear as a distinct line item in the Federation Account but were reflected through increased naira revenue collections.
He noted that changes in the exchange rate increased the naira value of dollar-denominated revenues collected by agencies including Customs and the Nigeria Revenue Service, as well as petroleum-related taxes.
The Lagos-Calabar Coastal Highway accounted for about 34% of the total N6.47 trillion strategic infrastructure expenditure, making it by far the largest single infrastructure allocation listed in the scorecard.
Other major payments included N366 billion for road emergency intervention projects and N304.2 billion for the Abuja-Kaduna-Kano Road, Section II.
The Federal Government also spent N291.3 billion on the Lekki Deep Sea Port Access Road, N250 billion on the Renewed Hope Smallholder Support programme and N228.4 billion on the Ilesha-Akure-Benin road section.
The scorecard further listed N124.7 billion for the construction of 1,550 housing units for Nigerian Armed Forces personnel and N109.9 billion for Operation Lake Sanity, a multinational security operation.
The Ministry of Finance said the infrastructure interventions were designed to address longstanding constraints limiting investment, productivity and economic growth.
“The objective is to use improved fiscal capacity to address infrastructure constraints that limit investment, productivity and economic growth,” the report stated.
The spending comes as the Federal Government continues to push major road and transport infrastructure projects while facing pressure from debt service obligations, wage adjustments and other recurrent expenditure.
The Lagos-Calabar Coastal Highway is one of the flagship infrastructure projects of the current administration and is expected to run along Nigeria’s southern coastline, connecting nine states when completed.
The 47.47-kilometre first section in Lagos had been substantially completed, while construction was also ongoing on a 28-kilometre dual carriageway in Ogun, a 52-kilometre stretch in Ondo and a 27-kilometre section in Calabar.
Major sections in Akwa Ibom were also under construction, with the initial 47-kilometre sections in Calabar and Akwa Ibom reportedly more than 60% completed.
Foundation work was continuing along the Ondo corridor, while concrete pavement was being laid on the Ogun section.
The project has attracted public debate over its cost, financing structure and the pace of government payments.
The N2.23 trillion recorded in the reform scorecard is significant because it exceeds the allocations for several other major infrastructure and intervention projects combined.
The amount paid for the Lagos-Calabar Highway was more than twice the N1.11 trillion allocated to the Sokoto-Badagry Superhighway and over four times the N489.3 billion recorded for the Trans-Sahara Superhighway.
Strategic infrastructure spending was, however, only one component of the broader N30.64 trillion increase in Federal Government expenditure during the period.
Wage adjustments represented the largest component, consuming N9.39 trillion.
The impact of foreign exchange movements on external debt service accounted for another N9.37 trillion, reflecting the pressure that naira depreciation placed on the government’s public finances.
A further N1.24 trillion was attributed to the impact of monetary policy decisions on domestic debt service.
Social welfare transfers accounted for N424 billion, while N419 billion went to the FCT, Ecological Fund and natural resources-related interventions.
The higher naira cost of foreign obligations accounted for another N201 billion.
The scorecard also put incremental borrowing during the period at N11.85 trillion, highlighting the continued pressure on the Federal Government’s finances.
Despite the N6.47 trillion directed towards strategic infrastructure, the government spent substantially more addressing wage adjustments and the impact of foreign exchange movements on external debt.
The N9.39 trillion spent on wage adjustments was N2.92 trillion higher than infrastructure expenditure, representing a difference of approximately 45.1%.
Similarly, the N9.37 trillion attributed to the foreign exchange impact on external debt service exceeded infrastructure spending by N2.90 trillion, or 44.8%.
Combined, wage adjustments and the foreign exchange impact on external debt service consumed N18.76 trillion, representing about 61.2% of the Federal Government’s total N30.64 trillion incremental expenditure during the 30-month period.
The figures highlight the competing demands on government finances, with infrastructure investment accounting for a significant share of additional spending while wage costs and debt-related pressures absorbed an even larger portion of the fiscal resources available during the period.
