ABUJA, Nigeria – The Nigerian Senate introduces a constitutional amendment bill seeking to increase the Federal Government’s share of national revenue, reigniting debate over fiscal federalism.
The bill, titled Constitution of the Federal Republic of Nigeria (Alteration) Bill, 2026, is sponsored by Senator Sunday Karimi (Kogi West) and passes first reading on Tuesday.
Currently, Nigeria’s revenue allocation formula grants 52.68 per cent to the Federal Government, 26.72 per cent to states, and 20.60 per cent to local governments.
Karimi argues that rising national responsibilities justify a larger federal share.
“The Federal Government is overstretched,” he tells journalists. “We are rehabilitating Trunk A roads, funding security operations, and addressing national infrastructure decay with insufficient resources.”
The proposal comes amid growing agitation by states and local councils demanding greater fiscal autonomy and a revised formula in their favour.
Ahead of the bill’s second reading, Karimi alleges that some states have failed to translate existing allocations into visible development.
“Accountability must accompany increased funding,” he adds.
The bill is expected to generate intense debate, with analysts warning that altering the revenue balance could deepen tensions between the centre and subnational governments already grappling with fiscal pressures.
