FG Focuses on Infrastructure as Aviation Budget Falls to N87.31bn
In the 2026 Appropriation Bill, the Federal Government of Nigeria has placed a strong emphasis on infrastructure development within its aviation sector budget, allocating a total of N87.31 billion to the Ministry of Aviation and Aerospace Development and its agencies. This allocation reflects a strategic shift toward capital investment as a means to boost safety, efficiency and service delivery in the industry.
Capital Projects Dominate the Budget
Analysis of the budget reveals that over 80 per cent of the total allocation N70.19 billion is earmarked for capital expenditure, highlighting infrastructure as a top priority for the sector. The remaining funds are split between personnel costs (N14.78 billion) and overheads (N2.34 billion).
This capital-heavy composition signals the government’s intent to modernize and expand key aviation infrastructure rather than merely maintaining the status quo.
Agency Allocations: A Closer Look
Federal Ministry of Aviation and Aerospace Development: The largest share at N50.65 billion, with N48.55 billion directed to capital projects.
- Nigeria Airspace Management Agency (NAMA): Entirely allocated N6.3 billion for capital expenditure, with no funds set aside for personnel or overheads.
- Nigerian Safety Investigation Bureau (NSIB): Gets N7.24 billion, with N6.51 billion for capital investments.
- Nigerian College of Aviation Technology (NCAT), Zaria: Allocated N11.28 billion, of which N6.54 billion is for capital projects.
- Nigerian Meteorological Agency (NiMet): Allocated N11.84 billion with a smaller capital component (N2.29 billion) due largely to its personnel-intensive operations.
Strategic Rationale from Leadership
The strong bias toward capital expenditure is in line with remarks from Festus Keyamo, Minister of Aviation and Aerospace Development. Keyamo has repeatedly stressed that “infrastructure renewal remains critical to improving safety, efficiency and service delivery in the aviation sector.
He also highlighted past performance metrics to reassure stakeholders about fiscal discipline and accountability, noting that personnel costs were fully utilized at 100 per cent, while overheads were “near-completely” used, although capital appropriation utilisation remained lower, reflecting implementation timing rather than lack of planning.
Bottom Line
Although smaller than last year’s allocation, the N87.31 billion aviation budget sends a clear message: the Federal Government wants to fix core infrastructure problems in the sector. The real test, however, will lie in project execution. Timely delivery and transparent use of funds will determine whether this infrastructure-led strategy translates into safer skies and stronger economic returns.
Comments