Photo caption: President Bola Tinubu. Photo credit: State House
President Bola Tinubu on Wednesday transmitted the 2026–2028 Medium Term Expenditure Framework and Fiscal Strategy Paper to the House of Representatives for consideration and approval.
The President’s letter, read during plenary by Deputy Speaker Benjamin Kalu, who presided over the session, urged lawmakers to give the documents prompt attention.
According to the letter, “It is with pleasure that I forward the 2026 to 2028 Medium-Term Expenditure Framework and Fiscal Strategy Paper, MTEF and FSP, for the kind consideration and approval of the House of Representatives.”
The President further explained that “The 2026 to 2028 MTEF and FSP were approved during the Federal Executive Council meeting of December 3, 2025, as the 2026 budget of the Federal Government will be prepared based on the parameters and fiscal assumptions of the approved 2026 to 2028 MTEF and FSP.”
Last week, the Federal Executive Council approved the 2026–2028 fiscal projections, setting an oil price benchmark of $64.85 per barrel and a budget exchange rate of N1,512/$1 for 2026.
MTEF and Fiscal Strategy Paper (FSP) are foundational policy documents required by the Fiscal Responsibility Act to guide Nigeria’s annual budget preparation. The MTEF/FSP outlines the federal government’s fiscal policy direction, macroeconomic assumptions, revenue projections, and spending priorities over a three-year period.
These documents serve several key functions, such as providing the fiscal parameters—such as oil benchmark price, exchange rate, and revenue targets—on which the national budget is built.
They also enhance budget discipline by ensuring spending decisions align with realistic revenue expectations.
MTEF and FSP improve transparency and predictability, allowing MDAs, investors, and development partners to plan around government priorities.
They also strengthen legislative oversight, as the National Assembly must approve the MTEF/FSP before the executive submits the annual Appropriation Bill.
