US report: Nigeria fails fiscal transparency test for second year

Nigeria has failed to meet minimum fiscal transparency standards for the second consecutive year, according to the 2026 Fiscal Transparency Report by the United States Department of State.

The report said Nigeria’s budget documents did not provide a complete picture of government revenue and expenditure, while actual spending and revenue did not reasonably correspond with the approved budget.

It also raised concerns about the independence of the Office of the Auditor-General of the Federation and the lack of accessible information on government contracts.

The US State Department recommended that Nigeria publish budget proposals on time, provide clearer details of revenue and expenditure, strengthen the independence of the Auditor-General’s office and make procurement information more accessible.

Reacting, the Presidency said fiscal transparency and accountability remained priorities of the Federal Government and that reforms were ongoing to improve public financial management.

BudgIT also backed the report’s concerns, particularly on budget implementation, audit independence and access to contract information.