Tracka, a public accountability organization under the BudgIT Foundation, has raised severe transparency and governance concerns over the N22.15 billion allocated for 106 royal palace projects in Nigeria’s 2026 federal budget, with N.85 billion allocated for those without any location.
The organisation’s extensive review was contained in a statement issued on Thursday, titled: “TRACKA 2026 FG Budget Padding Exposition.”
It highlighted critical loopholes regarding project locations, institutional mandates, and fiscal priorities amid Nigeria’s current economic struggles.
Analysis of the budget by the civic technology organisation showed that the palace projects include the construction, renovation, rehabilitation, and furnishing of traditional rulers’ palaces, palace halls, community halls, pavilions, and installation of solar power systems in several communities nationwide.
However, the organisation raised concerns over transparency and accountability, noting that 11 palace projects valued at N5.85 billion have no identifiable locations, making public monitoring and project verification difficult.
Tracka also questioned why 45 Federal Ministries, Departments and Agencies (MDAs), none of which has the statutory mandate to build or renovate palaces, were assigned responsibility for executing the projects.
According to the budget review, the largest allocation is N2.66 billion for the renovation of community halls and palaces in selected central communities in Lagos State under the Federal Cooperative College, Ibadan, supervised by the Federal Ministry of Agriculture and Food Security.
Another N1.54 billion was budgeted for the modernisation and furnishing of selected national heritage palaces across Nigeria under the Sheda Science and Technology Complex, while N1 billion was allocated for the construction of pavilions, landscaping and dedicated solar power facilities at Oluyin Palace Community Recreation Ground in Iyin Ekiti, Ekiti State.
The budget also provides N750 million for the completion and furnishing of four palaces in Kogi State, N700 million for the construction and rehabilitation of palaces in Plateau State, and N595 million for the construction of palace houses for chiefs in selected farming communities in Delta State.
Other allocations include N560 million for the renovation of emirs’ palaces in Niger State, N525 million for the completion and furnishing of a community and palace hall with solar facilities in Ojo, Lagos State, N500 million for the rehabilitation of several first-class traditional rulers’ palaces in Ondo State, and N400 million for the construction of a traditional rulers’ palace in Akwa Ibom State.
Several additional palace projects ranging between N140 million and N350 million are spread across states including Ogun, Ekiti, Kwara, Kaduna, Edo, Kogi, Delta, Nasarawa, Rivers, Osun, Adamawa, Sokoto, Yobe, and Plateau.
Tracka observed that many of the implementing agencies appear unrelated to the nature of the projects.
Among the agencies assigned palace construction responsibilities are the Nigerian Building and Road Research Institute (NBRRI) with projects worth about N3.92 billion; Federal Cooperative College, Eleyele, Ibadan, with N3.29 billion; Sheda Science and Technology Complex with N1.54 billion; National Cereals Research Institute; Industrial Arbitration Panel; National Oil Spill Detection and Response Agency (NOSDRA); and even the Federal Neuro-Psychiatric Hospital, Dawanau.
According to Tracka, assigning palace construction projects to agencies whose statutory mandates are unrelated to infrastructure development raises questions about budget discipline and institutional accountability.
The organisation argued that while traditional institutions remain important to Nigeria’s cultural heritage and community governance, financing palace projects through federal agencies whose legal mandates do not cover such responsibilities weakens transparency and undermines effective public financial management.
It further questioned whether the Federal Government should continue funding projects that are largely local in nature at a time when Nigeria faces mounting public debt, limited fiscal space, and competing development priorities.
It said: “At a time of rising debt and limited fiscal space, should the Federal Government fund projects that are largely local in nature, while states and local governments constitutionally exist to address many community-level needs?”
Tracka stressed that its position was not a criticism of traditional institutions but a call for greater adherence to constitutional and statutory responsibilities in public spending.
According to the organisation: “This is not about the importance of our traditional institutions. It is about ensuring that public budgets reflect constitutional responsibilities, institutional mandates, and Nigeria’s development priorities.
“The Federal Budget should not become a vehicle for financing projects outside the constitutional and statutory responsibilities of the institutions implementing them.”
It added that Nigeria’s budget should remain lawful, transparent, and development-driven, especially as the government continues efforts to strengthen fiscal sustainability and improve public confidence in the management of public resources.
