23 Nigerian States Planning to Spend $97.15 Million on Tech in 2026 – Full List

Twenty-three Nigerian states are planning to spend a combined ₦132.45 billion ($97.15 million) on technology ministries and digital economy initiatives in 2026, according to budget data sourced from BudgIT’s Open States platform, which publishes budget records for all 36 states.

The proposed allocation represents a sharp increase from 2025 — nearly four times the ₦33.59 billion ($24.64 million) actually spent last year.

In 2025, the same states budgeted ₦80.21 billion ($58.83 million) for tech initiatives but achieved an execution rate of just 41.88%, underscoring a persistent gap between ambition and delivery.

Bigger Budgets, Modest Priority

Despite the jump in headline numbers, technology remains a marginal item in state spending.

In 2025, tech ministries accounted for just 0.25% of total state expenditure.

In 2026, that figure is projected to rise to 0.53% — still less than one naira out of every ₦100 spent.

Of Nigeria’s 36 states, only 23 maintained dedicated technology or digital economy budgets for 2026. Several states — including Nasarawa, Borno, and Kwara — lack standalone tech ministries, while others such as Niger, Katsina, and Ogun did not allocate specific funding to tech-focused agencies.

The 23 States

The states planning dedicated tech spending in 2026 include:

Abia, Akwa Ibom, Bauchi, Bayelsa, Benue, Cross River, Delta, Ebonyi, Edo, Ekiti, Enugu, Gombe, Imo, Kano, Kebbi, Kogi, Lagos, Ondo, Osun, Plateau, Sokoto, Taraba, and Yobe.

Is Your State Really Funding the Future?

The widening gap between budget promises and actual spending raises critical questions about how serious states are about building a digital economy.

State governments play a pivotal role in:

Granting right-of-way approvals

Supporting fibre deployment

Enabling startup ecosystems

Driving e-governance adoption

Yet persistent underspending suggests that, in many cases, tech budgets function more as policy signals than operational commitments.

According to the United Nations Trade and Development, achieving universal digital connectivity, widespread financial inclusion, and higher-value manufacturing could cost about $1,231 per person annually — far above current state-level commitments.

Big Tech Ambitions, Thin Execution

Even after missing spending targets in 2025, the 23 states collectively increased their 2026 technology allocations by 65.13%.

But at ₦132.45 billion, the total allocation may barely fund large-scale fibre rollouts or statewide digital infrastructure projects.

In 2021, the Nigerian Communications Commission (NCC) warned that inadequate public funding from states remains a major obstacle to ICT development, noting that governments have historically struggled to finance digital infrastructure through budgets alone.

Meanwhile, roads, bridges, and other visible capital projects continue to dominate spending priorities. Education and healthcare consume much of what remains. Technology — despite being central to modern public service delivery — often receives symbolic allocations.

States’ Digital Profiles: Ambition on Display

Across Nigeria, digital ambition is evident.

In Lagos, home to over 900 startups, the government operates a ₦1 billion innovation fund through the Lagos State Science Research and Innovation Council (LASRIC). The state is also laying more than 6,000km of metro fibre and considering legislation that could earmark 1.5%–2% of annual capital expenditure for innovation.

Ekiti’s Knowledge Zone — backed by an $80 million investment from the African Development Bank — aims to transform the state into a regional knowledge hub.

Other examples include:

Ogun’s Tech Hub for digital skills development

Enugu’s private-sector tech partnerships

Edo’s newly launched data centre

Kwara’s innovation hub in Ilorin

Anambra’s exploration of AI tools to combat payroll fraud

These initiatives reflect aspiration. But funding often lags behind ambition.

Revenue Constraints and Political Realities

Many Nigerian states depend heavily on monthly allocations from the Federation Account Allocation Committee (FAAC) and generate limited internal revenue. Digital transformation requires heavy upfront capital investment — something fiscally weaker states struggle to sustain.

As a result, tech allocations often serve as signals of modernization rather than firm commitments.

Political incentives also play a role. Announcing innovation hubs and smart city projects can be politically attractive. In some cases, spending leans toward hardware procurement and consultancy contracts rather than durable digital public infrastructure.

Notably, 22.84% of the approved 2026 tech budget is earmarked for recurrent expenditure, including salaries and administrative costs — further limiting capital investment impact.

The Bigger Question

Nigeria has ambitious digital economy targets: broadband expansion, startup growth, e-governance systems, and digital public infrastructure all require coordinated investment across federal and state levels.

Yet with tech spending still below 1% of total expenditure in most states, funding levels do not match the scale of ambition.

The real test in 2026 will not be how much states budget for technology — but how much they actually spend.