By GEB
Latest report by BudgIT exposing widespread fraud in government projects nationwide has again laid bare Nigeria’s perennial struggle against fraud and corruption in public life—especially in public spending. BudgIT, a civic technology organisation committed to transparency, accountability, and citizen participation in public finance, released the damning report that shows that N8.61 billion was misappropriated through 92 fraudulent projects across several states. The financial discrepancies further underscore the widening gulf between budgetary promises and the lived realities of citizens.
Founded in 2011, BudgIT has grown into one of Africa’s leading civic-tech organisations, deploying data and digital tools to track public spending and strengthen democratic accountability. Its latest findings reveal a troubling pattern of fraud, abandonment, diversion of funds, and substandard execution of government-funded projects.
Published via BudgIT’s monitoring platform, @TrackaNG, the report reviewed 2,760 government-funded projects implemented across 28 states during the 2024 and 2025 fiscal years. Of these, 1,438 were completed, 660 remain ongoing, 471 were not completed, 99 were abandoned, and 92 were fraudulently delivered. Fraudulent delivery included diversion of funds, relocation to undisclosed sites, payments for projects already executed in previous budget cycles, partial delivery, and poor-quality execution.
The geographical spread of the fraud is equally disturbing. Imo State recorded the highest share at 17.43 per cent, followed by Lagos State (12.73 per cent), Kwara State (11.76 per cent), Abia State (10.67 per cent), and Ogun State (8.33 per cent). Together, these five states accounted for 57.1 per cent of all fraudulent projects, representing N8.61 billion out of N15.07 billion disbursed.
Equally troubling is the report’s revelation of failures in dam-related projects worth N432 million across 13 states. None of the 16 dams tracked was completed: four were abandoned, six progressed slowly, and six never commenced despite funds being allocated. In the healthcare sector, 47 revitalised primary healthcare centres, monitored across 25 states, showed mixed outcomes: some improved, while others were abandoned.
Beyond the statistics lies a deeper tragedy. Primary healthcare centres meant to serve vulnerable populations remain dilapidated. Water and sanitation projects have failed to deliver safe water to rural communities. In intervention zones, including oil-producing regions, some projects reportedly cannot even be traced despite full funding.
BudgIT’s revelations are not isolated. Over the years, Nigeria’s financial environment has also witnessed the proliferation of illegal fund managers and Ponzi schemes. The 2017 report of the Nigeria Electronic Fraud Forum revealed that Nigerians lost N11.9 billion to the Mavrodi Mundial Moneybox (MMM) scheme. These recurring patterns point to systemic governance failures that transcend sectors.
This is not merely an administrative oversight; it constitutes a governance crisis. Each abandoned classroom robs children of a chance to learn. Each failed health facility increases preventable mortality risks. Each dry borehole pushes citizens back to unsafe water sources. The impacts are felt not only in wasted funds but also in diminished human dignity.
The proliferation of fraudulent, abandoned, and non-performing projects reflects systemic weaknesses in procurement processes, supervision, and enforcement. Weak monitoring mechanisms, opaque documentation, and the near absence of sanctions for erring contractors have created fertile ground for abuse.
At the core of the problem lies a chronic failure of accountability. Oversight mechanisms remain weak and reactive. Legislative probes often follow public outrage, while audit reports rarely culminate in sanctions. In such an environment, impunity thrives. Infrastructure budgets risk becoming ceremonial line items rather than engines of development.
The politicisation of budgeting compounds the crisis. Projects are inserted into appropriation bills as instruments of patronage rather than development priorities. Many lack feasibility studies, technical designs, or alignment with strategic needs. Some are duplicated across agencies; others lack any realistic pathway to completion.
Procurement irregularities further deepen the rot. Contracts are inflated, bidding processes are manipulated, and projects are awarded to firms lacking technical capacity. When projects stall, consequences are rare. Contractors reappear in subsequent procurement cycles, perpetuating a system where failure carries no penalty.
Monitoring and evaluation systems remain largely paper-based and easily manipulated. Ministries, Departments, and Agencies routinely report progress that bears little resemblance to realities on project sites. Without real-time verification and community-based monitoring, ghost projects flourish.
The consequences are severe. Abandoned dams undermine irrigation and food security. Uncompleted water schemes expose communities to drought and disease. Wasted capital deepens fiscal deficits and erodes public trust. Ultimately, fraudulent projects rob citizens of infrastructure essential for economic growth and social stability.
Reversing this trend demands decisive reform. Procurement processes must be digitised and transparent, with full disclosure of bids, costs, and contractor histories. Non-performing contractors should be blacklisted and compelled to refund mobilisation fees, while performance bonds must be strictly enforced.
Oversight institutions require empowerment and independence. Audit findings should trigger automatic investigations and prosecutions. Legislators must prioritise preventive supervision through routine site inspections rather than post-facto probes.
Transparency is indispensable. Real-time public tracking of projects, supported by civil society and host communities, would make it harder for phantom projects to thrive. Budget insertions lacking technical justification should be disallowed.
Nigeria cannot afford to treat abandoned projects as routine administrative lapses. They represent stolen opportunities—for food security, water access, flood control, and rural livelihoods. The fight against fraudulent projects is ultimately a test of governance. Without accountability, public budgets remain ceremonial documents; with accountability, they become instruments of national progress.
Civil society organisations such as BudgIT have demonstrated that citizen-driven accountability can illuminate the dark corners of public finance. Government must now match this vigilance with decisive action. Transparency without consequences will not restore public trust. BudgIT’s report should serve as both a warning and an opportunity: a warning that systemic leakages continue to erode development, and an opportunity for authorities to demonstrate that accountability is not an abstract ideal but a practical commitment to the Nigerian people.
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