President Bola Ahmed Tinubu has urged state governors to deploy increased revenues more prudently and prioritise projects that directly improve the living standards of Nigerians, particularly in health, education and infrastructure.
The President made the call while reacting to the World Bank’s October 2026 Nigeria Development Update titled: “Beyond the Federal Purse: How Higher Revenues Reshaped State Priorities.”
According to a statement issued on Sunday by his Special Adviser on Information and Strategy, Bayo Onanuga, Tinubu said the report showed that economic reforms introduced since 2023 had increased government revenues and created more fiscal space for investments across the three tiers of government.
The report found that federation revenues rose by 69 per cent in real terms between 2023 and 2025, with state governments emerging as the largest beneficiaries.
It also showed that states increased capital expenditure by 151 per cent in real terms over the same period, with much of the additional spending directed towards roads and other transport infrastructure, agriculture, energy and housing.
According to the World Bank, 29 of 33 states shifted their spending towards economic infrastructure, while real social spending per person increased in all but one state.
Reacting to the findings, Tinubu urged state governments to ensure that the additional resources translated into tangible improvements in the welfare of citizens.
“I urge state governments to use their higher revenues more prudently and prioritise projects that improve the living standards of Nigerians, and the health and education of our people,” he said.
The President also welcomed the report as evidence that his administration’s economic reforms were yielding results and placing the economy on a firmer footing for sustained growth.
The World Bank report indicated that Nigeria’s economy grew by 4.2 per cent in the first half of 2026, compared with 3.9 per cent in the corresponding period of 2025.
It projected that economic growth would average at least 4.4 per cent between 2026 and 2028.
The report further noted that Nigeria’s poverty rate had stabilised for the first time since 2019, with the Bank projecting a gradual decline as economic growth outpaces population growth.
Tinubu, however, acknowledged that more work was needed to ensure that the gains from the reforms translated into improved living conditions for households, particularly through lower food prices and increased employment opportunities for young people.
“The dividends of reform are becoming visible. But more work remains to ensure they fully translate into better living standards for every household, starting with lower food prices and decent jobs for our young people,” he said.
The President reaffirmed his administration’s commitment to inclusive growth under the Renewed Hope Agenda, promising to expand targeted cash transfers, accelerate the deployment of compressed natural gas (CNG), increase agricultural productivity and improve access to affordable healthcare and quality education.
He said targeted cash transfers had already reached more than 10 million households.
Tinubu also commended the Economic Management Team, led by the Minister of Finance and Coordinating Minister of the Economy, alongside state governors and other stakeholders, for their cooperation in implementing the reforms.
He maintained that the administration would sustain its reform programme under the Renewed Hope Agenda 2.0, with a focus on accelerating shared prosperity across the country.