The Federal Workers Forum has condemned the Nigerian government over the allocation of ₦22.15 billion for the renovation and construction of palaces in the 2026 budget, describing the expenditure as insensitive and disconnected from the economic hardship facing millions of Nigerians.
In a statement issued on Saturday and signed by its Coordinator, Andrew Emelieze, and General Secretary, Ogundele Ayo, the group berated the President Bola Tinubu-led government for prioritising “luxury projects” while workers grapple with soaring inflation, stagnant wages and the rising costs of food, transportation, healthcare and education.
The group decried the fact that the allocation comes at a time when millions of Nigerians are struggling to survive amid worsening economic conditions and widespread poverty.
The workers’ group also referenced the controversy surrounding reports of an alleged ₦8 trillion omitted from the proposed 2026 budget, noting that although the Federal Government has denied the claim, it should provide greater transparency over public spending.
“This shocking allocation comes while concerns remain over the reported ₦8 trillion allegedly unaccounted for and said to have been omitted from the 2026 budget, a claim the Federal Government has denied,” the group said.
“Rather than providing Nigerians with full transparency and accountability, the government continues to approve expenditures that suggest a disturbing disconnect from the harsh realities confronting workers and the masses.”
The group further questioned what it described as the use of public institutions and research agencies to finance projects unrelated to their statutory mandates.
It specifically queried why agencies such as the Nigerian Institute for Oceanography and Marine Research and the Cocoa Research Institute of Nigeria were allegedly linked to funding palace renovation and construction.
“Even more troubling is the use of public institutions, ministries, agencies, and research establishments as channels for financing projects that fall outside their statutory mandates,” the group said.
“Nigerians deserve to know why institutions such as the Nigerian Institute for Oceanography and Marine Research, the Cocoa Research Institute of Nigeria, and other public establishments are associated with funding palace renovation and construction.
“Such budgetary practices raise serious concerns about transparency, accountability, and the prudent management of public resources.”
The group argued that with workers battling rising food prices, transportation costs, housing expenses and healthcare bills, government spending should focus on improving citizens’ welfare rather than what it described as extravagant projects.
The workers group demanded the immediate publication of the full details of the palace-related allocations and called for a comprehensive review of what it termed questionable budgetary provisions.
It also renewed its demand for the implementation of a ₦300,000 living wage for federal workers.
“No worker who dedicates their strength, knowledge, and service to building this nation should be condemned to poverty while public resources are squandered on projects that do little or nothing to improve the living conditions of ordinary Nigerians,” the group added.
The group urged federal workers, labour unions, students, youth organisations and civil society groups to unite in demanding accountability, prudent management of public resources and policies that prioritise the welfare of ordinary Nigerians over what it called the comfort of the political elite.
“The wealth of Nigeria must be used to guarantee decent wages, quality healthcare, affordable education, reliable infrastructure, and social protection, not to fund extravagant projects that deepen public distrust and economic inequality,” the group said.
“Public resources belong to the Nigerian people, not to a privileged few. Enough is Enough!”
The latest criticism followed widespread public outrage over the Federal Government’s proposed spending on royal palaces in the 2026 budget.
SaharaReporters had earlier reported that the Tinubu administration earmarked ₦22.15 billion for the construction and renovation of 106 palace buildings across Nigeria, with some projects including furniture and solar installations.
The report also revealed that 11 of the palace projects had no identified locations, raising fresh concerns about transparency and accountability in the budgeting process.
The allocations sparked widespread criticism from Nigerians, who questioned the government’s priorities amid rising inflation, worsening poverty and the country’s deepening cost-of-living crisis.