Records from the Office of the Accountant-General of the Federation show that the disbursements were made under a special intervention program aimed at easing financial pressures on states and accelerating project execution at the local level. The initiative, which does not specify individual state allocations, reflects a structured approach to fiscal support, though concerns remain about transparency and accountability in how the funds are being utilized.
In 2024, states received ₦1.184 trillion through four major transactions, with significant payouts in April, May, September, and December. The following year saw an increase in funding, with ₦1.266 trillion disbursed across six months, including substantial transfers in May, June, and July. The payments followed a pattern of monthly savings, often around ₦100 billion, with occasional larger releases to address urgent needs.
Despite the substantial allocations, critics argue that the impact of these funds has been minimal, with persistent insecurity and poor infrastructure in many areas. Civil society groups have raised concerns about mismanagement and a lack of accountability, particularly as political focus shifts toward the 2027 elections.
In addition to these disbursements, the Federal Government has approved other major infrastructure projects, such as the ₦1 trillion Kano Metropolitan Rail Service, designed to improve urban transportation and stimulate economic growth. However, without stronger oversight, there are fears that these investments may not deliver the intended benefits for the Nigerian people.
The ₦2.45 trillion intervention stems from the Infrastructure Support Fund established in 2023 to cushion the effects of fuel subsidy removal. While the government emphasizes its commitment to development, the effectiveness of these funds will depend on greater transparency and accountability at both the federal and state levels.
