FG Raises NALDA Budget to ₦25bn in Fresh Agriculture Investment Drive
The Federal Government has increased funding for the National Agricultural Land Development Authority (NALDA) to ₦25 billion in the 2026 Appropriation Bill, a move that signals a stronger push to reposition agriculture as a major driver of economic growth, food security, and employment in Nigeria. The new allocation represents a sharp rise from the ₦7.43 billion provided in the previous fiscal year, reflecting renewed confidence in NALDA’s role within the country’s agricultural reform agenda.
NALDA, an agency under the Federal Ministry of Agriculture and Food Security, was originally set up to develop agricultural land and make it accessible for farming activities. In recent years, however, its mandate has gradually expanded beyond land clearing to include mechanisation support, infrastructure development, and coordinated farming schemes.
Details from the budget show that the ₦25bn allocation is split between recurrent and capital expenditure, with capital spending accounting for the overwhelming majority. Recurrent expenditure stands at about ₦1.04 billion, covering personnel costs and operational expenses. This includes staff salaries, allowances, pensions, health insurance contributions, training, security, utilities, maintenance, and official travel. While this portion is relatively modest, it is critical for stabilizing the agency’s operations and improving its administrative capacity.
The real focus of the 2026 allocation lies in capital expenditure, which totals ₦23.97 billion. This funding is earmarked for long-term investments that could directly influence agricultural productivity.
A portion of the funds is set aside for acquiring agricultural equipment, vehicles, and ICT tools to support field operations. Another chunk targets construction and infrastructure projects, including agricultural facilities and supporting rural infrastructure.
Notably, the largest share of capital spending is directed toward research and development, pointing to a strategic shift toward data-driven farming, improved crop yields, and modern agricultural practices.
That said, the success of this funding increase will ultimately depend on implementation. Budgetary allocations alone do not guarantee results.
Effective project execution, transparency in fund utilisation, and proper monitoring will be key to ensuring that the ₦25bn translates into real outcomes on the ground rather than remaining a paper commitment.
Overall, the Federal Government’s decision to raise NALDA’s allocation to ₦25 billion stands out as one of the more meaningful agriculture-focused interventions in the 2026 budget. It sends a clear signal that agriculture remains a priority sector and that land development, research, and infrastructure are central to Nigeria’s long-term economic strategy. For stakeholders across the agricultural and financial ecosystem, attention will now shift to how quickly and effectively these funds are deployed.
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