N34.5 Trillion Diverted Before Reaching Nigerians ~World Bank
A huge part of Nigeria’s money is being taken before it gets to the people, and the numbers are raising serious concern.
New data from the World Bank has revealed that about 34.53 trillion naira was removed from government revenue between 2023 and 2025 through early deductions. This money was taken before it was shared among the federal, state and local governments.
The figures are contained in the World Bank’s latest Nigeria Development Update released in April 2026.
Within the same period, Nigeria earned about 84 trillion naira in total revenue. But about 41 percent of this money never reached the Federation Account.
Revenue itself increased sharply. It moved from about 17.08 trillion naira in 2023 to an estimated 37.44 trillion naira in 2025. However, deductions also increased at almost the same pace.
In 2023, about 6.22 trillion naira was taken as first-line charges. By 2025, this figure rose to nearly 15 trillion naira.
These deductions are made by key government agencies that take a fixed share from total revenue. As the country earns more, their share also increases automatically.
Because of this system, there is less money left for development.
Spending on capital projects dropped from about 5.5 trillion naira in 2024 to 4.5 trillion naira in 2025. Out of the approved capital budget, only about 25 percent was actually implemented.
At the same time, Nigeria’s fiscal deficit remained high at about 16.9 trillion naira, with a large part of government spending going into debt servicing and regular expenses.
The World Bank warned that this system weakens transparency and makes it difficult to properly track public funds, as a large portion of revenue is spent outside the normal budget process.
Experts say what was meant to cover basic operational costs has now grown into a system that takes a large share of the country’s income before it is properly accounted for.
There are now strong calls for reforms to reduce these deductions, improve transparency and ensure that more of Nigeria’s revenue is used for public development.
If nothing changes, Nigeria may keep earning more money on paper, but the impact may not be felt by the people.
