Nasarawa State Governor Abdullahi Sule has called for a revision of Nigeria’s federal revenue allocation formula, arguing that the current framework fails to account for the state’s rapid population expansion.
The request highlights growing friction between subnational governments and the federal center over fiscal distribution as demographic shifts reshape economic realities across the country.
The governor’s appeal underscores the structural challenges facing Nigeria’s fiscal federalism.
With population growth outpacing infrastructure and service delivery in many regions, state leaders are increasingly pressing Abuja to adjust the derivation and allocation principles that determine how federal funds are shared.
This development adds to the list of domestic pressures weighing on the federal government’s budgetary flexibility.
The call for reform comes at a time when Nigeria’s broader market outlook remains constrained.