NIMC, Education Ministry Lead N24 Billion Software Spend for 2026
The National Identity Management Commission (NIMC) and nine other key federal ministries, departments, and agencies (MDAs) are projected to allocate approximately N24 billion for software-related projects in the 2026 fiscal year. This substantial investment, detailed in the national appropriation bill, highlights a significant push for digitization across critical sectors including identity management, education, cybersecurity, health, and immigration. However, this planned expenditure arrives amidst persistent concerns from regulators and stakeholders regarding inefficiency and potential misuse within government IT procurement.
Top Spenders and Sectoral Allocation
Out of 115 MDAs with software acquisition budgets, ten agencies account for the bulk of the spending. NIMC leads with the single largest allocation of N7.58 billion, closely followed by the Federal Ministry of Education (Headquarters) at N7.55 billion. This reflects intensified digitization efforts within education administration and national data systems. The scale of these budgets has, however, triggered scrutiny. The National Information Technology Development Agency (NITDA) has noted that the technical nature of such projects can sometimes shield them from adequate legislative oversight during budget defence sessions, a concern that parallels calls for transparency seen when the senate probes utilisation of other major public funds.
Regulatory Concerns Over Project Failure and Funds
Alarm over the effectiveness of such spending is well-founded. NITDA recently revealed a 56% failure rate for IT projects executed by Federal Public Institutions, attributing this largely to poor compliance with established IT Project Clearance Guidelines. The Director-General of NITDA, Kashifu Inuwa, emphasized the need to stop wasting public funds on fragmented systems that fail to deliver value. This sentiment was echoed by the Bureau of Public Procurement (BPP), whose Director-General stated that the intangible nature of software projects can provide a cover for some MDAs to siphon public funds, citing a lack of standardization that leads to inefficiency and corruption. Such warnings from agencies resonate similarly to when groups like Afenifere raises alarm over governance issues.
Criticism of Import Dependency and Economic Impact
Further criticism focuses on the economic impact of these software budgets. IT experts argue that the annual allocations could significantly benefit the local economy if directed toward domestic software solutions. Instead, a preference for imported software persists, even when capable local alternatives exist, preventing these funds from stimulating the national tech sector. This ongoing debate about resource allocation and national priorities continues to engage stakeholders, much like discussions following events such as a video where PDP suspends a member or when Chelsea’s Maresca dismisses certain transfer rumors, highlighting how public expenditure remains a focal point for scrutiny and debate across different spheres, including by observers and supporters of movements like the Labour Party Obidients.
