Senate Okays N11.074trn Customs 2026 Budget, Commends Service for 110.5% Target Performance

By Aminat Damilola, Assistant Editor

Senate yesterday approved a revenue target of N11.074 trillion for the Nigeria Customs Service (NCS) in the 2026 fiscal year, while commending the leadership of the Service for the 110.5 per cent increase in its 2025 revenue target

The Senate also approved an expenditure proposal of N1.295 trillion, following the agency’s strong revenue performance last year.

The approval of NCS’ revenue target came after the consideration of the report of Senate Committee on Customs, Excise, and Tariffs, chaired by Isah Jibrin.

Presenting the report, Jibrin said the committee scrutinised NCS’ 2025 budget implementation before examining its 2026 estimates.

He disclosed that although the Service was assigned a revenue target of N6.5 trillion for 2025, it generated N7.2 trillion, representing about 110.5 per cent of its target.

The committee chairman said the agency’s revenue performance could have been even stronger but for fiscal policy measures introduced to encourage local production, as well as disruptions in global trade arising from the Russia-Ukraine conflict, which affected imports, including wheat.

On budget implementation, the committee stated that while the customs service had an approved expenditure of N1.132 trillion for 2025, it spent about N591 billion during the period.

Jibrin attributed the relatively low budget implementation to delays in securing approvals from government agencies, including the Bureau of Public Procurement, explaining that projects not executed in 2025 would be carried forward into the 2026 fiscal year.

He said the Customs was targeting N11.074 trillion in revenue next year through wider deployment of technology, improved revenue recovery mechanisms, real-time systems audit, and enhanced trade facilitation initiatives.

Jibrin added that the proposed N1.295 trillion expenditure comprised N421 billion for personnel costs, N307 billion for overheads, and N565 billion for capital projects.

He said the capital allocation would largely fund the completion of the Nigeria Customs Service headquarters and other ongoing infrastructure projects.

Jibrin stated that the agency’s principal source of funding remained the four per cent Free-on-Board value of imports as provided under the Nigeria Customs Service Act.

“The committee, having considered the proposed 2026 budget, recommends that the Senate approve the proposed revenue target of N11.074 trillion and the expenditure estimate of N1.295 trillion for the 2026 financial year,” he stated.

During the debate, the deputy senate president commended both the committee and Comptroller-General of Customs for surpassing the 2025 revenue target while maintaining what he described as prudent spending.

He stated, “They were expected to generate N6.5 trillion but ended up collecting N7.2 trillion. That is a remarkable achievement worthy of commendation.”

Following the adoption of the committee’s recommendations, Senate unanimously approved both the N11.074 trillion revenue target and the N1.295 trillion expenditure proposal for NSC for the 2026 fiscal year.