Nigeria is facing a dire education crisis, with the country holding the unenviable title of third-highest number of out-of-school children globally. The stark reality is worsened by the inability of many state governments to access funds meant to combat this issue. An investigation by Africa Health Report’s Gom Mirian, reveals that a critical bottleneck in the process—the failure to match 50% counterpart funds—has exacerbated the challenges, leaving money in the tune of billions of naira unutilized. Consequently, millions of Nigerian children are without education.
The Unseen Barrier: The 50% Counterpart Fund
For Nigeria to address its education challenges, a significant amount of funding is required, with the federal government, through the Universal Basic Education Commission (UBEC), allocating two per cent of its Consolidated Revenue Fund (CRF) to support state-level education programs.
This funding, known as the matching grant, is meant to be matched by the state governments, who are required to contribute 50% of the allocated amount to access their share. However, a systemic issue has emerged: many state governments are unable or unwilling to provide counterpart funds, resulting in millions of naira lying idle in the coffers of the Central Bank of Nigeria (CBN).
The matching grant system, outlined in the Universal Basic Education (UBE) Act of 2004, aims to improve the quality of basic education across the country, from primary school through junior secondary school.
The initiative calls for uninterrupted, compulsory education for every Nigerian child. But as millions of children remain out of school, the lack of political will to access these funds by state governments stands as a major stumbling block.
State Governments’ Failure to Access Funds
Recent data from the UBEC reveals a staggering amount of un accessed funds. Between 2020 and 2024, 34 states failed to access approximately N135.5 billion in matching grants.
According to Dr. Hamid Bobboyi, the Executive Secretary of UBEC, 34 states had not accessed their 2020 matching grants, and similar trends persisted for 2021 and 2022, with a growing number of states—including major states like Lagos, Oyo, and Rivers—failing to access funds in 2023.
A breakdown of the situation shows that in 2023, a total of N51.64 billion was due to be accessed by all states, but only N15.47 billion was collected, with 27 states, including the Federal Capital Territory (FCT), failing to tap into their entitled share.
In the north-central region, for example, N19.6 billion remained un accessed, a sum that could have helped address critical educational deficits in the region.
This failure is not a minor issue; it directly impacts the education of millions of children.
According to UNICEF, there are currently 10.2 million children of primary school age and 8.1 million children of secondary school age out of school in Nigeria. The situation is exacerbated by poor literacy rates, with 73% of children aged 7 to 14 unable to understand simple sentences, and 75% struggling with basic math.
The Political Will Problem
So why are state governments failing to access these funds? Experts point to a lack of political will, a pervasive issue that prevents states from raising the required 50% counterpart funds.
The Director of Information at UBEC, Mr. David Apeh explained that while the federal government has made its provisions, it is the responsibility of the state governments to provide their share. However, some state governments have shown a lack of commitment to the cause of education, preferring to divert funds elsewhere or simply failing to prioritise education.
“There is no political will. That’s why they find it difficult to access their matching grants,” Apeh said in an interview with Africa Health Report. “Some of the states could not access this money because there is no political will in the state. Even though the federal government has made its provision, we want the states to be committed.”
This reluctance to provide counterpart funding is particularly concerning in light of the abysmal state of public schools in many regions of Nigeria. In states such as Kebbi, Sokoto, Yobe, and Zamfara, where the literacy rates are particularly low—some as low as 55%—the matching grants could be used to address some of these challenges. However, the funds remain inaccessible due to the state’s inability or unwillingness to contribute their share.
The Call for Legislative Change
The issue has not gone unnoticed. Some experts have called for a review of the UBEC Act, suggesting that reducing the counterpart funding requirement could help states access these funds more easily. The Nigeria Governors’ Forum, for example, has advocated for a reduction in the matching grant requirement, pointing out that not all states are in the same fiscal position. While wealthier states like Lagos and Rivers may have the resources to contribute their share, poorer states like Kebbi and Sokoto face significant financial challenges.
“The issue is the difficulty faced by states to access about N64 billion in UBEC funds,” said the spokesperson for the Nigeria Governors’ Forum, Ebenezer. “We’re looking at how to change the legislation, amend the UBEC Act to reduce the matching grant. Some states don’t have the fiscal balance to raise the counterpart funds, which is why they fail to access the funds.”
This legislative change would potentially provide a solution to the problem, but it does little to address the underlying issue of political will. Even if the counterpart funds requirement were reduced, the need for effective governance and prioritisation of education would remain. Without this, any legislative changes may simply act as a temporary band-aid to a deeper systemic issue.
Human Rights Concerns
Human rights advocates are also deeply concerned about the implications of these un accessed funds. Femi Falana, a prominent human rights lawyer, has expressed outrage over the failure of state governments to access the funds, calling it a violation of children’s rights.
According to Falana, the funds that remain un accessed are meant to guarantee every child in Nigeria access to free and compulsory education, as enshrined in the Child’s Rights Act and the Compulsory, Free, Universal Basic Education Act.
In January 2024, Falana filed a lawsuit at the Federal High Court to compel state governments to access the funds. The lawsuit, which seeks to compel the 36 state governments to access the N68 billion trapped in UBEC accounts, is a direct response to the growing number of out-of-school children and the failure of political leaders to act.
“Governors are toying with the right of children to education,” Falana said in a statement. “Every child is entitled to free and compulsory education from primary to junior secondary school under the Child’s Rights Law, and these state governments should no longer be permitted to deny children their right to education.”
An Urgent Call for Action
The failure of state governments to access UBEC matching grants is a serious issue with far-reaching consequences for Nigeria’s educational future. With over 20 million children out of school, the country’s educational system is in crisis. The un accessed funds, totalling billions of naira, represent a missed opportunity to address this crisis.
The lack of political will is the central obstacle, with state governments either failing to prioritise education or lacking the resources to meet the counterpart funding requirement. Experts and human rights advocates agree that a fundamental shift is needed that involves both political will and financial commitment from state government.
The Nigeria Governors’ Forum’s call for a review of the UBEC Act is a step in the right direction, but it is only a part of the solution. A comprehensive approach that includes legislative changes and a commitment from state governments to prioritise education and invest in the future of Nigeria’s children is necessary.
As Nigeria continues to grapple with its education crisis, the time for action is now. The funds are available, but the political will and commitment to access them remain lacking. If Nigeria is to address its out-of-school children problem and improve its educational system, the state governments must take responsibility and act decisively. Only then can Nigeria hope to unlock the potential of its children and secure a brighter future for all.
