The Kano State House of Assembly has approved an amendment cutting the state's 2026 budget by approximately N276 billion, lowering the approved figure from more than N1.47 trillion to N1.21 trillion. The adjustment represents a downward revision of roughly 18.7% as the government works to align expenditure with available revenue.
The decision, reported by the News Agency of Nigeria on Monday, October 19, 2026, followed consideration of a report on the 2026 Appropriation Amendment Bill by the House Committee on Appropriation. Committee Chairman Abdulhamid Abdul-Minjibir attributed the reduction to lower-than-anticipated inflows from the Federation Account Allocation Committee (FAAC). He explained that the implementation of federal tax reforms, together with prevailing macroeconomic conditions, had altered the revenue assumptions underpinning the original budget.
Abdul-Minjibir stated that revising the expenditure framework would help the government maintain fiscal discipline, minimise borrowing and concentrate available resources on priority development programmes. Under the revised N1.21 trillion budget, N390 billion was allocated to recurrent expenditure for administrative and running costs, while N820 billion was earmarked for capital expenditure, including infrastructure and development projects.
The original 2026 budget of N1.478 trillion had projected N909.94 billion in revenue from FAAC, representing about 62% of the total spending plan. It also assumed N138.44 billion from internally generated revenue, N186.77 billion in grants and N140.42 billion in capital development fund receipts.
FAAC disbursement data for the first half of 2026 show that Kano received N152.57 billion, compared with N120.04 billion in the corresponding period of 2025. This reflects an increase of N32.52 billion, or 27.09% year on year, although the state retained its position as the sixth-largest recipient of FAAC allocations among Nigerian states. The disbursements comprised N63.49 billion in net statutory allocations, N79.42 billion in Value Added Tax (VAT) revenue and N5.98 billion in non-oil revenue augmentation.
Despite the year-on-year increase, the half-year receipts amounted to approximately 16.77% of the state's N909.94 billion annual FAAC projection. If the first-half rate were sustained through the year, Kano would receive roughly N305.14 billion, significantly below the original target, though accounting coverage and treatment of deductions may affect direct comparisons.
