…as NAICOM Projects N25.7bn Revenue as 2026 Spending Plan Nears Balance
…forecast 14 per cent rise in IGR as recapitalisation drive begins
By Gloria Ikibah 
The Nigeria Deposit Insurance Corporation has delivered an impressive 97 per cent implementation of its 2025 budget, setting it apart from many other Ministries, Departments and Agencies that have struggled to execute their spending plans, particularly in relation to capital projects.
The strong performance was highlighted during a budget defence session of the House of Representatives Committee on Insurance and Actuarial Matters.
The session followed the presentation of the corporation’s 2025 budget performance and its proposed 2026 estimates by the Managing Director and Chief Executive, Thompson Oludare Sunday.
Chairman of the committee, Rep. Ahmed Jaha Babawo, drew attention to the corporation’s high level of budget execution, noting that it contrasted sharply with the low or in some cases non-existent capital budget implementation recorded by several federal agencies.
He acknowledged the NDIC’s prudent financial management and disciplined use of resources, describing the 97 per cent execution rate as a significant achievement at a time when many public institutions are grappling with poor budget performance.
He said: “I want to put this on record that NDIC is one of the agencies operating strictly under the Fiscal Responsibility framework on cost-to-income ratio.
“Fifty per cent of its generated income must be remitted to a dedicated Consolidated Revenue Fund account of the Federal Government, while the remaining 50 per cent is retained to run the agency
“Despite this limitation, NDIC has achieved nearly 97 per cent budget implementation for 2025. Meanwhile, some other agencies recorded zero per cent performance, particularly on their capital components. This achievement is largely because NDIC is a self-generating, government-owned enterprise that manages its revenue efficiently within the fiscal responsibility guidelines,” Jaha stated.
Earlier in his presentation, the NDIC Managing Director, Mr. Thompson Oludare Sunday, proposed a total budget of ₦589.89 billion for the 2026 fiscal year.
He explained that the 2026 proposal represents an increase of ₦151.22 billion over the 2025 budget.
According to him, the projected total expenditure for 2026 stands at ₦250.46 billion, representing 50 per cent of the Corporation’s projected income, in compliance with the cost-to-income ratio policy.
The NDIC also projected a surplus of ₦254.74 billion for 2026, of which 50 per cent amounting to about ₦252.60 billion will be remitted to the Federal Government in line with statutory requirements.
The Managing Director emphasized that the projections were carefully structured to ensure regulatory stability, operational efficiency, and continued protection of depositors within the Nigerian financial system.
The National Insurance Commission has put forward a proposed expenditure of N25.667 billion for the 2026 financial year, alongside a projected net revenue of N25.702 billion, signalling a near-balanced budget position.
Commissioner for Insurance, Olusegun Omosehin, who outlined the figures, indicated that the Commission’s internally generated revenue is expected to climb to N34.270 billion in 2026, up from the N29.921 billion projected for 2025. The anticipated increase of N4.348 billion represents a growth rate of 14 per cent.
According to the Commissioner, the improved outlook is linked to fresh measures aimed at expanding revenue streams, alongside strengthened oversight mechanisms designed to minimise financial leakages.
He also acknowledged the backing of the House of Representatives and the wider National Assembly in securing the passage of the Nigerian Insurance Industry Reform Act, which has since received presidential assent from President Bola Tinubu.
On regulatory developments, the Commissioner confirmed that the Commission has commenced the recapitalisation of insurance companies, marking the opening phase of a wider reform and restructuring programme within the sector.
“The goal is to reform, rebuild and recapitalise the sector. We are committed to a transparent process,” he said, adding that the exercise will conclude on July 31, 2026, after which only companies that meet the new minimum capital requirements will remain in operation.
