The Nationwide Identification Administration Fee (NIMC) and 9 different federal ministries, departments and businesses (MDAs) are set to spend about N24 billion on software-related tasks this yr.
That is based on particulars from the Federal Authorities’s 2026 Appropriation Invoice.
Whereas a complete of 115 MDAs had been budgeted for software program acquisition for the yr, these 10 got here prime as the largest spenders, with allocations throughout identification administration, training, mining, cybersecurity, well being, finance, and immigration.
Nonetheless, the large allocation additionally comes amid considerations over perennial wastages and widespread abuse of IT procurement processes by MDAs.
What the info is saying
Information from the appropriation invoice exhibits that NIMC alone accounts for the one largest software program allocation among the many 10 MDAs with the most important allocation for software program.
Based on the funds breakdown, NIMC is anticipated to spend N7.58 billion on software program in 2026, the very best allocation among the many MDAs.
That is adopted carefully by the Federal Ministry of Training (Headquarters), which has a proposed software program funds of N7.55 billion, reflecting elevated digitisation efforts in training administration and knowledge programs.
- Different notable allocations embrace the Mining Cadastral Workplace, which is ready to spend N2.23 billion, and the Geological Survey Company of Nigeria, with N1.32 billion earmarked for software program.
- The Nationwide Cybercrime Coordination Centre (NCCC) is allotted N1.26 billion, reinforcing the federal government’s push to strengthen cybersecurity coordination and digital crime prevention.
- Within the well being sector, the Nigeria Centre for Illness Management (NCDC), Abuja, has N1.23 billion budgeted for software program, whereas the Federal Ministry of Finance (Headquarters) is anticipated to spend N1.09 billion.
- The Nigeria Immigration Service has a proposed allocation of N1.01 billion, and the Price range Workplace of the Federation rounds out the checklist with N827.14 million.
Considerations over the annual funds for software program
A number of stakeholders within the Nigerian ICT business have expressed considerations over the annual observe of budgeting billions for software program by (MDAs of the federal government with out commensurate enchancment of their companies to the individuals.
The Nationwide Info Know-how Growth Company (NITDA) additionally confirmed this fear not too long ago, noting that billions of naira are being pushed by MDAs via IT tasks as a result of they’re too technical to be scrutinized by the Nationwide Meeting in the course of the funds defence.
Final yr, NITDA revealed that 56% of IT projects executed by Federal Public Institutions (FPIs) have failed, citing poor compliance with the company’s IT Undertaking Clearance Pointers as a serious purpose.
“These tasks fail as a result of they aren’t cleared to make sure alignment with nationwide requirements and priorities. We should cease losing public funds on fragmented, uncoordinated IT programs that don’t ship worth,” Inuwa said.
The Director-Basic of the Bureau of Public Procurement (BPP), Dr. Adebowale Adedokun, corroborated this, including that MDAs cover underneath IT tasks to siphon funds.
“Most IT tasks are intangible, and a few MDAs use them as a canopy to siphon public funds,” Adedokun stated.
“We’ve seen tasks introduced with out standardisation, which ends up in inefficiencies and corruption,” he added.
Choice for overseas software program
An IT knowledgeable, Mr. Adewale Adeoye, stated the nation’s economic system may have benefited from the annual funds for software program by the federal government if half of the cash are spent on native software program.
“One main drawback with the annual funds for software program by the MDAs is that the cash just isn’t being pumped into the economic system.
“A lot of the businesses nonetheless desire to import software program even in circumstances the place there are regionally developed ones that might do the identical factor,” he stated.
Adeoye added that a lot of the funds that might have been used to encourage native builders and develop the nation’s software program business are going into different international locations as they proceed to import software program.
Based on the Institute of Software program Practitioners of Nigeria (ISPON), Nigeria loses N156 billion yearly to software program importation, and the institute believes that is being fuelled by MDAs with their penchant for the acquisition of overseas software program.
Strikes to cease wastage
To curb the wastage via IT tasks, the BPP DG stated the Bureau has launched normal bidding paperwork for IT procurement and pledged to work carefully with NITDA to make sure transparency, keep away from duplication of efforts, and get rid of waste in IT spending.
- Adedokun additionally really useful that NITDA discover service-wide procurement of software program licenses, notably for world distributors like Microsoft and Oracle, to chop prices and forestall contract inflation.
- He additional urged the event of a nationwide IT value intelligence template to assist benchmark prices.
“We have now a duty to cease the misuse of sources that could possibly be higher deployed to satisfy different nationwide wants.
“With correct coordination and standardisation, we will flip IT from a legal responsibility into a strong asset for nationwide growth,” Adedokun stated.
What it’s best to know
NITDA first launched its Guideline for IT Undertaking Clearance in 2018 as a software to make sure federal IT tasks ship worth and assist Nigeria’s digital transformation targets.
- Final yr, the company revised the Guideline with emphasis on interoperability, cost-effectiveness, transparency, and compliance with nationwide digital economic system targets.
- The revised pointers introduce a three-step implementation framework—Answer Design, Implementation, and High quality Assurance.
- It additionally mandates that contractors should be licensed and make use of licensed professionals throughout these phases earlier than they’ll qualify for presidency IT contracts.
