Bagudu: North big beneficiary of Tinubu’s economic reform

The North has made more significant economic progress under President Bola Tinubu, as evidenced by the quantum leap in revenue and substantial debt reduction of the states, Minister of Budget and Economic Planning, Senator Abubakar Bagudu has said.

He spoke yesterday in Kaduna during his presentation on the second day of the Sir Amadu Bello Memorial Foundation programme in Kaduna.

The minister stated that the president’s bold economic reforms had increased revenue for the states, as their debts had fallen, freeing up more resources for social and infrastructural development.

Bagudu stated that this situation had greatly benefited the 19 Northern states, whose federally allocated revenue had increased significantly since Tinubu took office.

Bagudu explained that Tinubu’s reforms led to significant revenue growth for subnational governments, pointing out that between May 2023 and June 2025, total net statutory revenue and VAT allocation to States and Local Governments (excluding EMT levy, FX gains, and augmentations) more than doubled, rising from N458.81 billion to N991.81 billion.

He stated that this reflects an increase of N533 billion or 116.17% across the federation.

According to the minister responsible for budgeting and economic planning, this significant increase in allocation was mainly due to the Federal Government’s bold reforms, including the removal of the fuel subsidy.

He stated that, although the reforms caused some short-term pains, the fiscal space created allowed for direct transfers of more oil revenues to the Federation Account, thereby increasing statutory allocations to subnational governments.

He said, “By ending the fuel subsidy, President Tinubu made a hard but necessary call—liberating trillions of naira –  to expand federation account allocations by over 340%. States now have the means to invest in their future.”

Bagudu stated that while every state in the federation recorded significant increases in monthly allocations, the Northern states received a substantial raise.

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He cited Gombe State, which he stated had the sharpest rise, from N6.69 billion in May 2023 to N24.91 billion in 2025, amounting to a 272.35% increase. He also referenced Kaduna State, whose allocation increased from N11.94 billion to N42.01 billion, a rise of N30.07 billion, a 251.84% leap.

According to him, a regional breakdown of the benefits to the North showed that the North Central’s share of revenue increased by 145%, the North East by 149%, and the North West by 143%.

“These show how removing subsidies and enhancing revenue-sharing mechanisms have directly benefited State Governments, enabling them to fund their development priorities,” the minister stated.

Bagudu informed the audience that the fiscal position of subnational governments had also improved due to a significant reduction in domestic debt, made possible by the availability of additional funds from the Federation Account.

He explained that the debt portfolio of the 36 states and Abuja was reduced by 33.4% from N5.8 trillion to N3.8 trillion under the president’s deft financial engineering.

Isolating the North’s share of this, the minister noted that the region’s 19 states experienced a 42.06% reduction, from N1.98 trillion to N1.14 trillion.

Bagudu told his audience, “These results demonstrate the tangible benefits of macro-fiscal reforms. The Renewed Hope Agenda is delivering real value to citizens through improved subnational fiscal capacity. The Tinubu administration at the centre remains committed to fiscal transparency, equitable distribution, and continued collaboration with states and LGAs.”

He emphasised that the president’s administration had demonstrated a comprehensive and strategic approach to addressing the economic, social, and governance challenges in Northern Nigeria.

“By implementing bold reforms, investing in critical infrastructure, empowering local governments, and prioritising security and social welfare, the administration is working to create an environment conducive to sustainable development and improved quality of life for the people of the region,” he said.

Bagudu buttressed his submission by citing key infrastructural projects of the Federal Government in the North, including the Sokoto-Badagry Superhighway, the dualization of the Kano-Maiduguri Road, the Sokoto-Gusau-Funtua-Zaria Highway, the Abuja-Keffi-Makurdi Road, the Ilorin-Jebba-Minna Road, the Abuja-Lokoja Road, and the Kano-Katsina Road dualization.

Other road projects he mentioned included the Abuja-Kaduna-Kano Expressway, the Malando-Garin Baka-Ngaski-Warra Road, the Bid-Zungeru-Kagara Road, the Gombe-Biu Road, the Yola-Numan-Jalingo Road, the Kaduna-Kano Railway, the Light Rail Projects in Kaduna, Kano, and the FCT, and the AKK Gas Pipeline.

Bagudu also mentioned the enhancement of healthcare facilities under Tinubu and stated that over 1,003 primary healthcare centres were revitalised in two years, adding that 10 of the nation’s upgraded medical warehouses were in the North.

He stated that there had been a significant upgrade in federal teaching hospitals and medical centres across Katsina, Bauchi, Yobe, Borno, Zaria, Adamawa, Kebbi, Taraba, and Kano.

He pointed out that under the MAMII programme, the region recorded 13.1 million antenatal visits, 4.2 million safe deliveries, 4,000 free Caesarean sections, and 6 million women receiving nutritional support.

“This is not charity. It is health justice delivered with intent,” he said firmly.

Bagudu said Tinubu’s policies were equitable and fair to all regions, explaining that the president ensured that his Renewed Hope legacy projects were distributed equally to all.

According to him, “President Tinubu’s administration has demonstrated a comprehensive and strategic approach to addressing the economic, social, and governance challenges in Nigeria.”