Oyo State Governor Seyi Makinde has accused the Federal Government of withholding billions of naira in dividends from Nigeria Liquefied Natural Gas (NLNG) Limited that he said are due to state governments, alleging that the funds would not be released until after the 2027 general elections.
Makinde questioned why money that could be invested in infrastructure, economic expansion and development projects across the states was allegedly being withheld for political reasons, asking whether the interests of politicians had been placed above the welfare of Nigerians.
In a viral video, the governor claimed that following a reconciliation of the figures relating to the NLNG dividends, each state of the federation was expected to receive between ₦200 billion and ₦250 billion.
He said state governments had anticipated receiving the funds and had begun considering projects that could be financed with the money to strengthen their respective economies and improve development.
However, Makinde alleged that the Federal Government had indicated that the payments would be delayed until after the 2027 elections, a decision he criticised as an attempt to subordinate development to political calculations.
“They fooled us. The Nigeria LNG, whose dividend is from the Federal Government, where is the account for the expenses?” Makinde said.
The governor explained that consultants had reconciled the relevant figures and determined the amounts expected to accrue to the states, creating expectations among state governments that the money would become available for development initiatives.
“They reconciled the figures, and each state of the federation would get more money, about ₦250 billion. We were planning towards this. We wanted to identify projects that we could put it into, projects that could further expand the economy of the states,” he said.
Makinde expressed concern that the alleged delay would prevent state governments from accessing substantial funds they had expected to deploy towards economic growth and public development.
He questioned the rationale for postponing the payments until after the elections, arguing that the timing raised concerns about whether political considerations were influencing decisions over the disbursement of public funds.
“Now they say they are not going to pay that money until after the election. Is election more important than the people of Nigeria?” he asked.
The governor further suggested that the alleged withholding of the funds might be connected to concerns within the Federal Government that state governors could exercise greater control over the money and potentially use it in ways that could undermine the ruling party’s political interests ahead of the 2027 general elections.
“Maybe, as you pay our governors, once you pay that money to the state, they may have control over it and use it to work against you. Given all that, does it then mean election is more important to development in Nigeria?” Makinde said.
Although he presented the possibility of political interference as a concern rather than an established explanation for the alleged delay, his remarks raised questions about the relationship between federal and state governments and the handling of funds expected to support development across the federation.
Makinde also challenged the idea that state governments should be denied access to funds because of possible political disagreements with the Federal Government.
“Is it your money? And why should we be forced to work for you?” he said.
His comments highlighted concerns about the financial autonomy of state governments and their ability to plan and execute development projects without delays allegedly linked to political interests at the federal level.
The governor also disclosed that he had discussed the need to institutionalise processes that had helped state governments plan and manage their finances, saying he had recently spoken with the Speaker of the Oyo State House of Assembly about the matter.
“I just finished talking to the Honourable Speaker and I said, please, let’s find a way to institutionalise this process because it has helped us,” he said.
Makinde did not provide further details in the remarks about the specific reconciliation exercise, the total amount outstanding to all states or the precise administrative basis for the alleged postponement of the payments.
The Federal Government’s position on the governor’s allegations was not included in the report, and the claim that the funds would be withheld until after the 2027 elections could not be independently established from his remarks alone.