Labour Party says Ogun gov’s N1.68tn 2026 budget unsustainable

The Labour Party has criticised the proposed ₦1.68 trillion 2026 budget of Ogun State Governor, Dapo Abiodun, describing it as unsustainable and potentially harmful to the long-term economic well-being of the state.

The party also declared that it would not enter into any alliance with other political parties ahead of the 2027 general elections, insisting it would field candidates for all elective positions in the state.

However, the party clarified that despite its resolve to contest all positions in Ogun State, it would support President Bola Tinubu’s re-election bid in 2027.

The South-West Vice-Chairman of the party, Abayomi Arabambi, made the remarks in a statement during the inauguration of the newly elected executive members of the Ogun State chapter of the party, held at the press centre of the Nigerian Union of Journalists, Iwe Iroyin, Abeokuta, on Tuesday.

Arabambi said the party was determined to end what he described as maladministration by the ruling All Progressives Congress in the state.

PUNCH Online reports that Abiodun recently proposed a total expenditure of ₦1,668,997,993,125.44 for the 2026 fiscal year, representing a 63 per cent increase from the 2025 budget of ₦1.054 trillion.

Tagged “Budget of Sustainable Legacy,” the governor, while presenting the proposal to the state House of Assembly, explained that the budget comprises ₦624.76 billion (37 per cent) for recurrent expenditure and ₦1.044 trillion (63 per cent) for capital expenditure.

Arabambi argued that the size and structure of the budget reflect poor fiscal judgment, urging the Abiodun-led administration to moderate its growth to a more realistic and sustainable level.

He called for a “clear, credible and conservative financing framework” that would reduce dependence on volatile revenue sources and debt financing, while ensuring that all proposed projects are subjected to rigorous and independent assessment.

He also accused the current administration of failing the people of the state, alleging that residents have continued to suffer under policies that have not delivered meaningful socio-economic improvements.

He said, “What is being presented as a ₦1.6 trillion budget cannot be regarded as a sustainable legacy. A genuine legacy must be rooted in fiscal responsibility, transparent governance and expenditure that aligns with secure and verifiable revenue.

“This government has failed the people of Ogun State. We will take every necessary measure to remove the ruling APC in 2027 and offer a people-centred alternative.

“Budgets should serve as instruments of development rather than political statements. Unchecked borrowing and unrealistic projections could mortgage the future of the state.”

Arabambi urged the lawmakers to exercise diligence in scrutinising the proposal.

“We urge the Ogun State House of Assembly to exercise its constitutional duty with utmost diligence.

“It should consider moderating the budget’s growth to a more sustainable level, demand a clear, credible and conservative financing plan that reduces dependency on volatile and debt-based sources, and ensure that every proposed project undergoes rigorous independent assessment,” he added.

Meanwhile, the newly elected state chairman of the party, Mrs Oluwabukola Soyoye, thanked party members for the confidence reposed in her and promised to mobilise more people into the party with the aim of taking over the governance of the state in 2027.

Efforts to get the reaction of the Ogun State Government were unsuccessful, as calls to the Special Adviser on Information and Strategy to Abiodun, Mr Kayode Akinmade, went unanswered, while messages sent to his WhatsApp line had yet to be responded to as of the time of filing this report.