The Federal Government (FG) has disbursed a total of N2.45 trillion to Nigeria’s 36 states and the Federal Capital Territory (FCT) to support infrastructure development and security operations. According to internal records from the Office of the Accountant-General of the Federation (OAGF), these funds were released between March 2024 and August 2025 under a special intervention program funded through non-oil revenue savings. The initiative is part of the government’s broader effort to address critical infrastructure gaps and strengthen local security measures.
The OAGF documents, submitted at the December 2025 Federal Accounts Allocation Committee meeting, revealed that N1.184 trillion was disbursed in 2024 through four major payments, while 2025 saw N1.266 trillion allocated over six transactions. The payments, labeled as “Payment for Intervention to States and FCT,” were systematically aligned with monthly savings from non-oil revenue. However, the breakdown of how much each state received remains undisclosed, raising questions about transparency in fund utilization.
The disbursements stem from the Infrastructure Support Fund (ISF), established by President Bola Tinubu in July 2023. The fund is designed to enable states to invest in transportation, agriculture, healthcare, education, power, and water resources. According to Dele Alake, former Special Adviser to the President, the ISF aims to cushion the effects of subsidy removal while boosting grassroots development and economic competitiveness across the nation.
Despite the significant funding, civil society organizations have raised concerns about accountability. Auwal Rafsanjani, Executive Director of the Civil Society Legislative Advocacy Centre, criticized the government and state officials, arguing that funds have largely failed to impact public infrastructure or security. “We are seeing democratic scrambling of public resources without accountability,” Rafsanjani said, noting that political interests and the 2027 elections may be overshadowing citizen-focused development.
Beyond the ISF disbursements, the Federal Government continues to invest in large-scale infrastructure projects. For instance, Kano State recently received approval for a N1 trillion Metropolitan Rail Service, aimed at modernizing urban transportation, enhancing mobility, and stimulating economic activities in the metropolis. As these interventions continue, the challenge remains ensuring that the disbursed funds translate into tangible improvements for Nigerians across all states.
source: punch