FEC Sets N1,512/$ Exchange Rate, Projects N34.33 Trillion Revenue for 2026 Budget

The Federal Executive Council (FEC) has approved an exchange rate of N1,512 to the US dollar as a reference for Nigeria’s 2026 budget preparation.

Minister of Budget and Economic Planning, Atiku Bagudu, disclosed this during a briefing with State House correspondents following the council meeting, which also saw the adoption of the 2026–2028 Medium-Term Expenditure Framework (MTEF).

The Federal Government projects a total revenue of N34.33 trillion for 2026, including N4.98 trillion from government-owned enterprises. This represents a decrease of N6.55 trillion compared to previous estimates.

Bagudu highlighted that the Federal Government’s allocation is expected to be N9.4 trillion, approximately 16 percent lower than the 2025 budget, while statutory transfers are projected at around N3 trillion.

For the oil sector, FEC approved a production target of 2.6 million barrels per day for 2026, though a more conservative 1.8 million barrels per day will form the basis for budgeting, with an oil benchmark price of $64 per barrel.

This budget framework aims to ensure fiscal prudence while supporting critical government initiatives across sectors, balancing revenue expectations with sustainable economic planning.

The 2026–2028 MTEF reflects the government’s commitment to strategic allocation of resources, transparent budgeting, and the strengthening of revenue channels, setting the stage for robust economic growth and development.