Oyo State Governor Seyi Makinde has accused the administration of President Bola Tinubu of withholding over ₦250 billion in Nigeria LNG Limited (NLNG) dividend payouts due to each state of the federation, alleging that the Federal Government spent the funds and opted to postpone disbursements until after the 2027 general elections.
Speaking on Friday, October 16, 2026, during the 2027 Budget Stakeholders’ Consultative Engagement held at the International Conference Centre, University of Ibadan, Governor Makinde questioned the political rationale behind withholding statutory revenue from sub-national governments.
Addressing community representatives, civil society groups, and state officials, Makinde stated that dividend payments made by NLNG into the Federation Account had been spent by federal financial authorities rather than distributed in accordance with the fiscal sharing framework.
”Each state was supposed to get more than ₦250 billion. We were planning towards this and had already identified projects that we can invest the money in to further expand the economy of Oyo State,” Makinde told the audience. “But they have now said the money will not be paid until after the election. Is the election more important than the people of Nigeria?”
The governor suggested that federal authorities may be deliberately withholding the capital over political calculations regarding how state chief executives might deploy the funds ahead of the 2027 general elections.
”Well, maybe they felt that when they pay the money to the states, the governors may have control over it and use it to work against you. Even at that, are you saying the election is more important than the people of Nigeria? Even if they use the money to work against you, is it your money?” he added.
Highlighting Oyo State’s public finance management strategy, Governor Makinde noted that the state’s budget planning continues to be driven by direct public input gathered across all senatorial districts.
He disclosed that no ministry, department, or agency (MDA) is permitted to defend its budget allocation at the pre-treasury stage without proving how citizens’ feedback was integrated into its proposals.
Speaking at the event, the Speaker of the Oyo State House of Assembly, Rt. Hon. Adebo Ogundoyin, commended the executive branch for sustaining town hall consultations. Makinde revealed he had held discussions with Ogundoyin to formally institutionalize the annual stakeholders’ consultative framework through state legislation.
When contacted following the address, Special Adviser to the President on Information and Strategy, Bayo Onanuga, and federal finance ministry officials did not immediately issue an official response to the governor’s allegations.
