2025 Capital Budget: Senate Grants Federal Government Fresh Three-Month Extension

By Opeyemi Adelakun

The Senate has approved another extension of the implementation period for the capital component of the 2025 budget, moving the deadline from September 30 to December 31, 2026.

The decision followed the passage of the Appropriations (Repeal and Enactment) Act 2025 Amendment Bill 2026 during Tuesday’s plenary.

Senate Leader Opeyemi Bamidele, who sponsored the bill, said the additional three months would enable ministries, departments and agencies to complete capital projects for which appropriations had already been made and funds released.

According to him, the execution of capital projects involves several stages, including procurement, contract execution, mobilisation, certification of completed work and payment.

He said some projects were already at advanced stages and could be disrupted if the existing September 30 deadline expired without an extension.

Bamidele also said the extension was aimed at preventing the waste of appropriated funds and reducing the possibility of ongoing projects being abandoned.

The Senate Leader emphasised that the measure did not create a new appropriation.

Rather, he said, it provided an additional legal window for the utilisation of funds already appropriated and released for capital projects under the 2025 budget.

He further warned that the extension should not be treated as a relaxation of financial accountability, stressing that MDAs must comply with existing appropriation, procurement and financial regulations.

The Senate Chief Whip, Tahir Monguno, meanwhile, criticised what he described as implementation bottlenecks associated with the centralised payment system domiciled in the Office of the Accountant-General of the Federation.

Monguno urged the executive to review the arrangement, saying continued delays could lead to further requests for extensions in future budget cycles.

The Committee of Supply subsequently reviewed the bill and proposed amendments to the relevant sections of the 2025 Appropriation Act, including Section 12, the short title, explanatory memorandum and long title.

The Senate adopted the committee’s report before suspending its rules to allow the bill to undergo third reading.

It was subsequently passed by the chamber.

Senate President Godswill Akpabio said the extension would provide additional time for the government to address outstanding contractual obligations and prevent more public projects from being left incomplete.

The Senate’s latest decision follows three earlier extensions of the 2025 capital budget implementation deadline — first to March 31, then June 30 and subsequently September 30, 2026.

The House of Representatives also approved the extension on Tuesday, meaning the capital component of the 2025 budget will remain available for implementation until December 31, 2026.

The Senate thereafter adjourned plenary until October 13, 2026.