The Minister of the Federal Capital Territory, Nyesom Wike, says the Federal Capital Territory Administration’s monthly Internally Generated Revenue has increased from N9 billion in 2023 to about N40 billion following its exit from the Treasury Single Account, describing the policy shift as the key driver of the ongoing infrastructure transformation across Abuja.
Wike disclosed this on Thursday during a media parley in Abuja, where he attributed the administration’s improved financial strength to President Bola Tinubu’s approval of the FCTA’s removal from the TSA, a move he said enabled the territory to access commercial loans using its IGR as collateral.
According to the minister, the previous TSA arrangement constrained the FCTA’s ability to finance major infrastructure projects because its funds were held with the Central Bank of Nigeria, preventing it from borrowing from commercial banks.
“Mr. President sees governance as a business, and that is why he pulled us out of the TSA for the development of the FCT. When we had funds with the CBN, we had no access to borrow from commercial banks.
That was a major impediment for us. Now, I can go to commercial banks to borrow money for infrastructure projects, using our Internally Generated Revenue as collateral,” Wike said.
He said the increased revenue, alongside measures to block leakages and curb wasteful spending, had significantly improved the FCTA’s finances.
“When we came on board, our IGR was a mere N9 billion a month. As I speak to you today, our IGR is about N40 billion. These are the benefits of exiting the TSA,” he said.
Wike added that the administration had also restructured its spending priorities, shifting from a budget dominated by recurrent expenditure to one focused on capital projects.
According to him, the FCTA has moved from allocating about 65 per cent of its budget to recurrent expenditure to committing roughly 75 per cent to capital projects.
The minister said the improved financial position had made it possible for the administration to embark on extensive infrastructure development across the Federal Capital Territory, including the ongoing 31-day project commissioning programme.
He noted that the administration now has sufficient cash flow to settle outstanding obligations to both local and foreign contractors, ensuring that inherited and newly awarded projects are completed on schedule.
Wike also said contractor selection under the current administration is based primarily on technical competence rather than nationality.
Addressing concerns that the FCTA was concentrating mainly on road construction, the minister said road infrastructure remained the foundation for broader development but insisted that investments were also being made in water supply, healthcare and education.
He cited the commissioning of the Karu Water Scheme, the forthcoming inauguration of the Bwari Water Scheme, the renovation of more than 120 public schools, and the re-award of previously abandoned hospital projects in Gwagwalada and Gwarimpa as evidence of the administration’s multi-sector approach.
The minister warned that the FCTA would not tolerate the misuse of newly completed infrastructure, announcing the deployment of a task force to remove illegal roadside markets and criminal elements from public spaces.
“Government cannot build roads today, and the next day it’s a market. We will not allow that,” he said.
Wike further disclosed that the administration had reclaimed parks and gardens that were unlawfully converted into hotels and residential buildings, adding that a stricter “develop-or-lose” policy had also been introduced to discourage land speculation and the illegal sale of unallocated plots in mass housing estates.
On the recent allegations linking the President’s Chief of Staff, Femi Gbajabiamila, to a purported non-existent government agency, Wike dismissed the claims as baseless.
He said he was convinced Gbajabiamila had no involvement in the matter, arguing that such allegations were intended to embarrass the government by targeting senior officials.
The minister also rejected calls by opposition figures seeking to participate in the independent investigative panel constituted by President Tinubu, urging Nigerians to allow the panel to carry out its assignment without political interference.
