Nigeria @66; Desirability and Sustainability of Subnational Domestic Debt

Ben Oye 

As Nigeria turns 66 on October 1st 2026, All eyes and ears are tuned to Abuja in anticipation of the traditional independence broadcast of the President. Public analysts, critics and supporters of the President and the ruling party will thoroughly dissect his speech. One issue the critics are expected to focus on is the desirability and sustainability of national public debt.

The 36 states and FCT will be celebrating with a combined domestic debt of N4.59 trillion according to recently released data from the Debt Management Office, DMO for second quarter of this year. That is N67.57 billion more than they owed in March and N627.35 billion more than June last year.

Of this figure, ten states hold N3.22 trillion or 70.2% while four states - Lagos, Delta, FCT and Rivers - alone hold 49.5% of the total. Lagos: N1.195trn, Delta: N369.30bn after adding N155.45bn in one quarter, FCT: N358.79bn after cutting N31.08bn, Rivers: N354.64bn, Edo: N214.93bn, Ogun: N189.05bn, Bauchi: N157.35bn, Niger: N140bn, Cross River: N130.01bn, Benue: N112.32bn. 

Governments, globally, borrow often for various reasons. Funding of developmental projects, development of capital market, smoothing revenue volatility, funding in times of emergencies induced by wars, natural disasters, pandemics etc, and prevention of economic disasters such as depression are some of the justifications for government borrowing.

Though many states' debt are unjustified for breaching the requirement of the Fiscal Responsibility Act, states such as Lagos, Rivers, and Ogun have demonstrated the capacity to effective manage public debt.

The debt to IGR ratio is the real fiscal independence test. According to the National Bureau of Statistics, states generated N5.15trn IGR in 2025, up 40.93% from N3.65trn in 2024. Lagos alone did N1.77trn, Rivers N428.42bn, FCT N356.34bn and Ogun N252.36bn. 

State       Debt Q2 '26       IGR 2025          Debt/IGR

Lagos 1,195bn      1,770bn            67.5%

Delta 369.3bn        110bn             335.7%

FCT           358.79bn       356.34bn           100.7%

Rivers 354.64bn     428.42bn             82.8%

Edo            214.93bn         85bn*           252.9%

Ogun 189.05bn     252.36bn             74.9%

Bauchi 157.35bn       b20bn*             786.7%

Niger 140bn        b30bn*             466.6%

C/River      130.01bn         40bn*                       325.0%

Benue 112.32bn        29.38bn                  l382.3%

*Delta, Edo, Bauchi, Niger, Cross River estimates based on NBS 2024 + 40% growth. Benue IGR 29.38bn confirmed in FAAC report. 

By the information contained in the above table, Lagos, Rivers and Ogun can clear their domestic debt with less than one year of IGR. Delta, Edo, Cross River, Benue, Niger and Bauchi need 3-7 years of total IGR to clear their debt. Bauchi is most exposed.

Most states still depend heavily on statutory allocations from the Federal Allocation Account Committee. In first half of 2026, Lagos got N365.78bn, Delta N331.43bn, Rivers N295.99bn, FCT N123.67bn. Total FAAC to states from January to June, 2026 stood at N4.65trn. 

We annualise the half year total revenue of of the following states to get their respective debt to revenue percentage:

State.   Total Revenue/yr.       Debt/Revenue %

Lagos        2,501bn                      47.8%

Rivers        1,020bn                      34.8%

Delta        772bn                      47.8%

FCT                603bn                      59.5%

Ogun        400bn                      47.2%

Edo                253bn                      84.9%

Niger         190bn                      73.7%

Cross River 175bn                      74.3%

Benue         165bn                      68.0%

Bauchi          160bn                     98.3%

When FAAC is added, sustainability improves dramatically. Only Edo and Bauchi cross 80%. This explains why FAAC reform is existential. If oil price falls or VAT is re-shared, Edo, Bauchi, Niger, Cross River and Benue will hit a wall.

Using rebased national GDP to test debt sustainability of these stars, Lagos economy is estimated at ₦86trn, Rivers ₦22trn, Delta ₦18trn,  and Ogun ₦12trn. All 10 states have debt-to-GDP under 3%, except FCT at 4.5%. By international 10% subnational threshold, debt looks small relative to GDP. Problem is not size, it is cash flow - IGR.

How Much Goes to Servicing? DMO reported national domestic debt service fell to N2.14trn in Q2 2026. For states, domestic debt service averages 18-24% of debt stock annually at current Treasury-Bill/Bond rates.

Lagos services its debt with an estimated ₦215bn/year  representing 12% of IGR and  8.5% of total revenue. Rivers: ₦64bn  translating to 14.9% of IGR or 6.2% of total revenue. The two states have a highly sustainable debt going by this.

However, Delta services its debt with ₦66bn annually. It amounts to 60% of IGR or 8.5% of total revenue. This shows a high IGR stress, It is moderate if FAAC holds.

On the other hand, Bauchi, Niger, Benue, and Cross River have debt service  profile of between 50-110% of IGR. Without FAAC, they cannot service debt and pay salaries.

Nigeria's debt problem is not federal alone. Stakeholders should pay more attention to activities of subnational governments to ensure even national development. At 66, we have two Nigerias:

Lagos, Rivers, Ogun, FCT  are VAT-driven survivors. Their debt is below 100% of IGR. Their VAT receipts in Feb 2026 alone are hefty with receiving Lagos N101.34bn, showing why VAT is now bigger than statutory allocation.

Delta, Edo, Bauchi, Niger, Cross River, Benue are FAAC addicts.  Their debt is 250-786% of IGR. Delta's 72% jump in one quarter and FCT's 405% year-on-year growth narrative shows borrowing to cover recurrent, not capital. 

Moreover, the slowdown to 1.49% quarterly growth is deceptive because Delta alone added more than the total net increase while Enugu, FCT, Rivers and Ogun cut debt. 

For true debt sustainability states must grow IGR beyond PAYE which already provides 51.3% of all IGR and 69.51% of tax revenue. Otherwise, any FAAC shock will turn domestic debt from a financing tool to a fiscal trap. 

The Long Road to 2027: The contours of Campaigns in Kwara State and what Must Get Right

 Kaosara Arinola, TIAMIYU

Nigeria's 2027 General Elections are still ahead, but in Kwara State the countdown has visibly begun. Continuous Voter Registration has closed, campaign season has officially opened, and the Independent National Electoral Commission (INEC) recently convened a stakeholders' meeting in Ilorin to take stock of where things stand. What emerged from that gathering - figures, warnings, unresolved disputes, and hard questions from the floor offers a useful preview of the issues that should dominate campaign conversations over the next several months, and a sobering reminder of how much groundwork remains.

The numbers tell a story of engagement - and of unfinished business

The recently concluded CVR exercise in Kwara recorded 249,459 new registrations, alongside tens of thousands of voter transfers, PVC replacements, and information updates. These are healthy signs of civic interest. But INEC itself has cautioned that the new-registration figure is still tentative, pending a cleanup exercise to weed out multiple registrations, underage entries, and other irregularities. That caveat matters. Every actor in this process - political parties, candidates, and voters alike should treat the current numbers as provisional and resist the temptation to build campaign narratives or turnout expectations on a figure that may still shift. 

There is also unfinished administrative work with real electoral consequences. Six local government areas in Kwara submitted requests to rename or relocate polling units and registration areas. Stakeholders reached agreement in four of them - Oke-Ero, Baruten, Oyun, and Ilorin South but Ilorin West and Moro remain unresolved. Left unaddressed, disputes like these can translate directly into voter confusion, contested results, or disenfranchisement on Election Day. Political parties and candidates should be pressing for these matters to be settled well before the polls, not treating them as a technical afterthought.

Insecurity remains the defining challenge

Perhaps the most sobering material to come out of the meeting concerns insecurity and displacement. Banditry has touched nearly every local government area in the state, with Ifelodun LGA the worst affected with 89 communities impacted, compared to smaller numbers in Irepodun, Isin, Ekiti, and Oke-Ero. Parts of Kwara North have also recorded kidnappings and killings. In some wards, entire polling units have emptied out as residents fled; in Ile-Ire Ward alone, four polling units covering thousands of registered voters relocated wholesale to other towns. Encouragingly, there are signs of recovery which include markets reopening, residents trickling back, kidnap victims released and a proposed army barracks in Omu-Aran is expected to strengthen surveillance in one of the hardest-hit corridors. But "gradual" and "expected" are not the same as "resolved".

This should be the single largest campaign issue for 2027 not as a talking point, but as a plan. Candidates owe voters something more concrete than general assurances of safety. What specifically will be done to secure polling units in red-zone communities? How will displaced voters, some of whom may still be away from their registered wards by Election Day, be accommodated? Members of the public at the stakeholders' meeting asked pointed questions about this, how ballot box security will be guaranteed and what role security agencies will play and INEC's answer, that citizens share responsibility for identifying and reporting troublemakers, is honest but incomplete. Voters deserve a fuller picture, and candidates who can articulate one will distinguish themselves.

Logistics, access, and the integrity of the vote

Beyond security, the meeting surfaced a cluster of practical issues that campaigns should not ignore simply because they sound procedural. The perennial problem of late arrival of election materials and personnel came up again, with INEC pointing to ongoing coordination with transport unions and training programs as its response - a plan still very much in progress. Questions were also raised about accessibility for voters with disabilities, to which INEC noted that existing rules already provide for their accommodation on Election Day; the real test will be whether that provision is visibly and consistently honored at the polling unit level, not just on paper. And on the increasingly common question of whether a downloaded digital copy of the PVC could be used to vote, INEC's answer was a clear no for now, with the possibility left open for future review.

Then there is the issue of political conduct itself. INEC has already expressed displeasure over reports of party billboards and campaign materials being destroyed by rival factions, and pointedly referenced the sections of the Electoral Act governing campaign conduct. Vote buying, too, was flagged as both an electoral and financial crime that will draw closer scrutiny this cycle, following earlier public warnings from the Economic and Financial Crimes Commission. These are not abstract concerns. A campaign season marked by material destruction, monetary inducement, or inflammatory rhetoric erodes the very credibility that elections are meant to establish.

What voters should expect from candidates

Taken together, the picture from Kwara is one of a Commission trying to be transparent about both its progress and its gaps, and a public that is asking exactly the right questions. Ahead of 2027, political parties and candidates should be judged less on rally attendance and more on whether they can speak credibly to security guarantees for at-risk communities, respect for the rules already laid down for campaign conduct, concrete rejection of vote buying, and support for smooth, accessible, well-supplied polling on election day. One audience suggestion from the stakeholders' meeting deserves particular attention: a clear, formal assignment of roles among the different security outlets involved in election duty. Ambiguity about who is responsible for what has been a recurring weakness in past cycles, and it is precisely the kind of issue campaigns and candidates can push for resolution on now, while there is still time.

If the 2027 elections are to be freer, fairer, and more peaceful than those before them, the work will not happen on Election Day itself. It will happen in the months between now and then - in whether displaced communities are resettled, whether outstanding polling unit disputes are closed, and whether every actor in the process, not just INEC, treats election integrity as a shared obligation rather than someone else's job.

Kaosara Arinola, Tiamiyu is a NYSC at the Grassroots Development Advocacy and Monitoring Centre (GDMAC), writes from Ilorin, Kwara State

Retirement security begins during working life, not at retirement - Faleye

…As NSITF covers 7.8m workers, claims turnaround now 10 days

The Managing Director/Chief Executive of the Nigeria Social Insurance Trust Fund (NSITF), Mr Oluwaseun Faleye, has said individual ownership of retirement planning cannot replace institutional responsibility, insisting that retirement security is built during working life, not at the point of exit from service.

Faleye stated this on Thursday while delivering NSITF's position at the Policy Dialogue session of the 2026 National Pre-Retirement Summit with the theme: "Own Your Retirement: From Planning to Action" held at the Shehu Musa Yar'Adua Centre, Abuja.

Speaking at the session, themed "Between Duty and Delivery", the Managing Director noted that the question of social protection is what citizens are promised in law and what they actually experience in real life.

He said, "When we speak about retirement, we must begin much earlier than the point at which work ends. Retirement security is shaped during working life - by occupational risks, health, protection of earning capacity, compensation when harm occurs, and what happens to families when a breadwinner is lost".

According to him, while pensions and savings are indispensable, they do not tell the whole story, noting that a worker who remains healthy, productive and protected has a different pathway into old age from one who suffers disabling injury or premature death without adequate protection.

Retirement security begins during working life, not at retirement - Faleye explained that the Employees' Compensation Scheme (ECS), which NSITF administers, is part of the retirement and social protection continuum, protecting workers against employment-related injury, occupational disease, disability and death, while providing compensation, survivor protection, medical care, rehabilitation and return-to-work support.

On coverage, the NSITF boss disclosed that as at July 2026, more than 7.6 million workers were enrolled under the Scheme, adding that  current figure has risen to over 7.8 million. He said the Fund is moving from isolated registration exercises toward sustained participation and compliance through partnerships with Federal institutions, State Governments, regulators, employers and organisations in the informal economy.

He described the onboarding of Treasury-funded Federal MDAs as particularly significant, revealing that within less than four months of the integration process, claims payments have commenced.

"The first batch of five Treasury-funded MDA beneficiaries was paid on 4 August 2026. This is turning Federal Civil Service protection into a lived reality," Faleye said.

He stressed that registration alone is not protection, adding that compliance must deliver real protection by connecting registration and assessment to contributions, accurate worker information, claims and timely benefit payment.

Faleye said the family must remain visible in social protection design, noting that when a worker dies from employment-related incident, survivors' and dependents' benefits become critical.

"The system must be visible at the point of vulnerability. Claims administration, documentation, communication and inter-agency referrals should be designed around the beneficiary's experience, with compassion, clarity and timely resolution," he added.

On prevention, he said NSITF's occupational safety and health work through workplace inspection, accident investigation and safety advocacy is aimed at ensuring fewer accidents occur at workplaces, while healthcare and rehabilitation preserve dignity and earning capacity.

The NSITF Chief Executive said workers should plan for retirement and understand their entitlements, but warned that a worker cannot individually insure against an employer's non-compliance or build a claims system.

 "The right balance is shared responsibility: the State builds and regulates the architecture; institutions deliver within their mandates; employers comply and maintain safe workplaces; and workers understand, use and participate actively in the protections available to them," he stated.

He listed NSITF's position as: retirement security begins during working life; coverage must mean effective protection not merely registration; prevention and compensation must work together; families and dependents must remain part of protection design; and individual ownership complements but does not replace public and employer responsibilities.

"Between duty and delivery is where trust is won. For the Nigerian worker, social protection must be more than a statutory promise on paper. It must be felt when a worker is injured, when a family loses a breadwinner, when rehabilitation is needed, and when a worker approaches retirement," Faleye said.

He disclosed that average claims turnaround has improved to 10 days from 14 days, adding that the next task is to deepen coverage, strengthen compliance and improve  institutional coordination.

"A worker can plan for retirement only when the system is credible enough to plan with," he concluded.

The summit had in attendance the Honourable Minister of Labour and Employment, the Chairman of National Pension Commission, President of Nigeria Labour Congress, Director-General of Bureau of Public Service Reforms and the Director-General of National Senior Citizens Centre amongst other stakeholders.

NSITF now a digital, efficient, accountable institution - Faleye

The Permanent Secretary Federal Ministry of Labour and Employment, Dr Kamil Shoretire, (left) receiving an award from the MD/CE NSITF, Barrister Seun Faleye when the latter visited NSITF Corporate Headquarters on Monday.

The Managing Director of the Nigeria Social Insurance Trust Fund (NSITF), Mr  Oluwaseun Faleye, has said the Fund has moved decisively from manual, top-heavy operations to a more digital, efficient and accountable institution in the last two years.

Faleye made this assertion Monday, September 21, 2026, when he received the Permanent Secretary, Federal Ministry of Labour and Employment, Dr. Kamil A. Shoretire, on a familiarisation visit to the NSITF Headquarters in Abuja.

Welcoming the Permanent Secretary and his entourage, the NSITF boss said the visit offered an opportunity to share first-hand the Fund's reform journey, present realities and aspirations.

Giving details of his stewardship, the MD said when the current Management assumed office in July 2024, it met an institution with significant reliance on manual processes, a management structure heavily concentrated at the top, career stagnation, gaps in deployment of people and resources, and institutional processes that needed modernisation.

Quoting the late Chinua Achebe, Faleye said: “A man who does not know where the rain began to beat him cannot say where he dried his body,” noting that the Management had to confront those realities honestly as the starting point for reform.

He gave a breakdown of key reform steps already taken to include a comprehensive staff audit, which recommendations are being implemented in phases to ensure sustainable, evidence-based reform.

“One of the first things we did was to undertake a comprehensive staff audit and provide an objective assessment of our workforce structure and organisational needs,” he said.

Faleye informed that the Fund also commenced a digital transformation journey to transit from predominantly manual systems to integrated and responsive systems, while addressing structural imbalances through a Voluntary Exit Exercise to create a leaner, more functional organisation with clearer responsibilities and renewed room for career progression.

Speaking on work environment and tools, the NSITF MD disclosed that the Operations Directorate has been relocated to the more modern Mukhtar El-Yakub Building, while branches across the country are being given a facelift, while those offices operating under branch-in-branch arrangements are being provided dedicated office spaces. He added that furniture, ICT equipment, printers and transportation capacity are being deployed progressively, alongside sustained capacity building for staff.

The Managing Director noted that the internal reforms are already translating into expanded coverage for Nigerian workers.

He disclosed that the Fund has successfully onboarded treasury-funded Ministries, Departments and Agencies, MDAs, and has commenced payment of claims, with the first batch of five beneficiaries already having received compensation recently at an event witnessed by the Permanent Secretary.

“We are at an advanced stage of engagement with the Lagos State Government and Taraba State Government, while discussions with a number of other States are progressing,” Faleye said, adding that partnerships with several Federal MDAs and regional organisations are also being strengthened to deepen coverage of the Employees’ Compensation Scheme, especially for workers in the informal and emerging economies.

“After two years, I believe it is fair to say that NSITF is no longer where it was when this Management assumed office. The digital transformation has begun. The organisational structure is being progressively reconfigured. The top-heavy management structure is being addressed,” he said.

Faleye however admitted that the Fund is still a work in progress, with much work to be done in expanding coverage to the informal workforce, strengthening compliance, improving data and digital integration, and enhancing claims administration.

He described the Ministry of Labour and Employment as not just an oversight Ministry, but as a strategic partner in strengthening Nigeria’s social protection architecture, and called for stronger collaboration to accelerate reforms.

“Our commitment is to continue to leave no stone unturned in building an NSITF that is transformed, efficient, effective, accountable and transparent; an institution that workers can trust, employers can engage with confidently, and the Government can rely upon to deliver,” he said.

He also assured that the Management remains committed to its pledge to leave the Fund better than it met it.

“I have repeatedly assured the staff of NSITF that I will leave the Fund better than I met it. That remains my commitment,” Faleye declared.

In his response, the Permanent Secretary, Federal Ministry of Labour and Employment, Dr Kamil Shoretire, commended the management of the NSITF for the bold reforms and visible improvements in the Fund and pledged the ministry's continued support to strengthen the nation's social security system.

He called on Management of the Fund to collaborate with sister agencies in a bid to include the informal sector into the coverage of ECS, and added that more importantly, the Fund should engage in preventive programmes for safety in workplaces.

Dr. Shohire, who lauded the management of NSITF for support to the Ministry, called for co-operation between Management and the Board of the Fund to ensure the smooth running of its operations.

NSITF Urges NBA to Expand Legal Frontiers of Workplace Protection to Cover Informal, Gig Workers

Mrs Bridget Ashanti, representing MD/CE NSITF at the NBA 66th Annual Conference in Port Harcourt 

The Nigeria Social Insurance Trust Fund (NSITF), has called on the Nigerian Bar Association (NBA), to lead the push to expand the legal boundaries of workplace protection and social security in Nigeria, saying the law must now cover informal sector and platform workers, not just those in formal employment.

Managing Director/Chief Executive of NSITF, Mr Oluwaseun Faleye, made the call at the 66th Annual General Conference of the NBA in Port Harcourt, Rivers State.

Dr Emmanuel Ulayi, mnipr, of the Corporate Affairs Department of NSITF (forefront), at the event 

Speaking on the theme “Beyond limits: Expanding the Legal Frontiers of Workplace Protection and Social Security Beyond Limits in Nigeria”, the MD noted that social security, as defined by the International Labour Organisation, is “a foundation for human dignity and resilience” and the protection a society provides to ensure access to healthcare and income security in cases of old age, unemployment, sickness, injury, maternity, or loss of a breadwinner”.

Represented by the General Manager, Abuja Region of the Fund, Mrs. Bridget Ashang, Faleye emphasized that “Social security is not charity. It is social justice,” adding that “ECS exists to ensure that in Nigeria, no worker falls alone.”

NSITF administers the Employees’ Compensation Scheme (ECS) under the Employees’ Compensation Act 2010. 

The scheme provides employment injury benefits to workers in both public and private sectors, excluding only officers of the Armed Forces. Contributions are paid solely by employers, and deductions from employees are prohibited.

According to the NSITF MD, the ECS reduces employer liability, supports worker recovery, ensures income continuity, and protects productivity which in turn improves GDP, adding that the Fund also promotes safer workplaces through improved occupational health and safety standards.

He noted that while the ILO’s Social Security Convention No. 102 outlines nine branches of social security — medical care, sickness, unemployment, old age, employment injury, family, maternity, invalidity and survivors’ benefits, Nigeria’s current legal framework still largely limits protection to the formal sector.

To bridge the gap, the NSITF boss outlined six actions for the NBA including raising awareness and building knowledge around workplace protection and social security, assuming advocacy and advisory roles, including corporate audits and test-case litigation to expand the definitions of “employee,” “employer,” and “workplace”, while amending existing labour laws to capture the evolving labour ecosystem, including the informal sector, gig and platform workers amongst others.

He also urged exploration of platform liability, facilitation of ratification and domestication of relevant ILO conventions to set minimum benchmarks and build trust within the labour ecosystem, ensuring consciousness in drafting laws establishing organizations so that no one is excluded and leading by example through self-audits and compliance by law firms and the NBA itself.

According to him, ratifying ILO standards provides a clear legal framework, while strong social deterrence is needed to discourage non-compliance.

“Legal frontiers should be expanded from protecting only ‘formal sector’ to ‘ALL,’” he stated, stressing that “When a lawyer speaks, everyone usually listens.”

Calling for cooperation from the NBA, Faleye reminded the lawyers that social security honours the dignity of work. “Social security is how we honour that sweat. It is how we say: Your work has dignity and your life has value,” he stated.

“Without the law, the Fund is silent. Without the Fund, the law is empty. Together, we can write a new Social contract for Nigerian workers.”

The NSITF helmsman warned that failure to expand the legal frontiers facilitates exclusion, and urged the NBA to use the law as an instrument of social change in line with its own mission.

The NSITF’s vision is to be the leading social security institution in Africa, setting the agenda for change, social policy, economic empowerment and poverty alleviation in Nigeria.

Delegates at the conference are expected to debate labour reforms during the week-long NBA-AGC, which drew thousands of lawyers to Port Harcourt.

NSITF intensifies nationwide workplace safety campaign

The Nigeria Social Insurance Trust Fund (NSITF) has intensified its nationwide campaign to promote workplace safety, with stakeholder engagements currently taking place in Bauchi, Jos and Kaduna.

The programme, tagged “Programme on Safety Regulations, Policies and Standards,” is being organised by the Fund’s Health, Safety and Environment (HSE) Department to raise awareness among employers on the importance of Occupational Safety and Health (OSH) and strengthen capacity for safer workplaces across the country.

The ongoing engagements, which began on Tuesday, August 18 and end on Thursday, August 20, 2026, are designed to deepen stakeholders’ understanding of OSH frameworks, challenges and opportunities in Nigeria, while promoting the integration of workplace safety into national development and organisational strategies.

According to a statement from NSITF signed by Head of Corporate Affairs, Alexandra Mede, the programme also seeks to build participants’ capacity to develop and implement effective OSH policies, encourage collaboration among stakeholders, expose employers to emerging safety technologies and innovations, and strengthen practical skills in risk prevention, incident investigation and safety leadership.

The statement said 85 employers were invited to each of the three locations, but attendance have surpassed expectations. It added that during the first phase of the campaign, held in Owerri, Port Harcourt and Lagos from August 11 to 14, more than 100 employers participated in each of the sessions.

The Fund said the initiative is aimed at shifting OSH from a mere compliance requirement to a core component of business strategy, while equipping employers with modern tools and technologies for preventing workplace incidents.

NSITF noted that the rise in workplace incidents and compensation claims in some sectors underscores the need to strengthen employers’ safety leadership, risk management and incident investigation capabilities.

The Bauchi, Jos and Kaduna engagements are expected to conclude on Thursday, with NSITF announcing plans to extend the stakeholder outreach to other parts of the country to promote the wider adoption of occupational safety standards nationwide.

NSITF Hits 85% of Contribution Target for 2026 at Mid-Year, As Faleye Urges Shift to Impact in Second Half

…Challenges Regional Managers to shift from activity to outcomes

The Nigeria Social Insurance Trust Fund (NSITF) has recorded approximately 85% of its contribution target in the first half of 2026, despite what management described as a period of significant institutional change.

Managing Director/Chief Executive, Mr. Oluwaseun Faleye, disclosed this at the opening of NSITF’s 2026 Half-Year Management Performance Review held simultaneously in six regional locations of the Fund.

According to Faleye, the result reflected “The collective commitment of our Regional and Branch leadership, the dedication of our compliance teams and the determination of our workforce to deliver results regardless of the challenges before them.”

The MD noted that the first half of the year was defined by the Voluntary Exit Exercise which he described as “an important milestone in our institutional journey” that came with new responsibilities and leadership demands.

“Across the country, many of our offices adapted to these changes with remarkable resilience and professionalism. Officers stepped into new roles, teams reorganised themselves and, despite the inevitable pressures that accompany such a transition, the work of the Fund continued without interruption,” he stated.

“That resilience deserves recognition. It reminds us that while systems, structures and technology are important, the greatest strength of any institution will always be its people,” the NSITF MD added.

“Excellence should never pass unnoticed. Recognition celebrates hard work, inspires healthy competition and reminds us that outstanding performance is always worthy of acknowledgement,” Faleye said.

He stressed that the review was not about naming failures. “The purpose of this Review is not to identify who has succeeded and who has failed, but to understand that which is working, address what is not is and create an environment where every office can succeed.”

Looking ahead, the MD said NSITF’s priorities are to “deepen compliance, expand social security coverage, improve the speed and quality of claims administration, strengthen stakeholder engagement and continue building an institution trusted by employers, employees and the Nigerian public.”

He placed emphasis on digital transformation, better data quality and simplified processes to reduce delays, cautioning however that technology alone would not deliver results.

“Yet technology alone cannot transform an institution; people do. Every reform ultimately depends on leadership, integrity, discipline and our collective willingness to embrace change,” he said.

Faleye reminded staff that NSITF’s mandate is ultimately about people: “the injured worker, the bereaved family, the employer seeking responsive service and every Nigerian worker who deserves the protection and dignity provided through the Employees’ Compensation Scheme.”

“When we remember the people behind the statistics, compliance becomes more than enforcement, claims administration becomes more than a process and service delivery becomes our contribution to a more secure and productive nation,” he said.

The MD urged all Regional Managers, Branch Managers, Heads of Departments and staff to leave the two-day review with “renewed purpose and determination.”

“When we gather again for our Year-End Management Performance Review, I want us to look back with confidence, not simply because we achieved our targets, but because we strengthened our institution, expanded protection for Nigerian workers and demonstrated that the Nigeria Social Insurance Trust Fund is steadily becoming the modern, responsive and trusted social security institution our nation deserves,” Faleye stated, concluding that “the story of 2026 is still being written. I am confident that, together, we will ensure that its final chapters are our strongest.”

In her presentation, the Executive Director (Operations), Mrs Mojisola Alli-Macaulay, who doubles as the Chairman, Regional Management Performance Review, challenged the regional and branch leadership of the Fund to shift focus from activity to outcomes, saying the real measure of success is how many employers comply, how fast claims are paid, and how many more Nigerian workers are covered under social security.

The Executive Director Operations said with the theme “From Performance to Impact: Strengthening Compliance, Enhancing Service Delivery, and Expanding Social Security Coverage,” the annual review was designed to move the Fund beyond targets and reports.

“It is easy to become consumed by deadlines, reports, targets and immediate operational demands. This Review gives us room to step back and ask: Are our efforts producing the results we expect? Are employers and employees experiencing better service?” Ali-Macauley told the gathering, adding that impact is visible “when an employer understands and fulfils their obligations. It is seen when a claim is treated promptly and professionally. It is seen when an injured worker or a family receives the support they are entitled to under the Employees’ Compensation Scheme. It is also seen when more Nigerian workers are brought within the protection of social security.”

She noted that “every Region operates within its own realities. Each has its own challenges, lessons and areas of progress, saying what matters is the willingness to learn from one another.

The ED outlined four priority areas for operational leaders: more purposeful employer engagement, better compliance outcomes from field operations, efficient and professional claims handling, and stronger use of technology backed by better-quality data and clearer reporting.

“We also need better-quality data, clearer reporting and a stronger use of technology in our daily work. These may sound like operational matters, but they directly affect the quality of the decisions we make and the service we provide,” she added, and urged participants to be candid in their presentations, sharing both what worked and what did not, so that successful approaches in one branch can be adapted elsewhere.

“The value of this review will not be determined only by the quality of the presentations made here. What will matter most are the decisions we take, the lessons we carry back to our offices and the actions that follow after this meeting,” the ED said.

The Executive Director commended the Managing Director/Chief Executive for leadership and support, and expressed hope that discussions would be “open, constructive and useful” for a clearer roadmap for the regions and branches of the Fund.

The Fund recognised 17 outstanding Branches for contribution collection against target: Kebbi, Sokoto, Damaturu, Dutse, Trans-Amadi, Ado-Ekiti, Yenagoa, Katsina, Lekki, Port Harcourt, Ikeja, Bauchi, Mainland, Zaria, Gusau, Yola and Kano.

Its top three collecting branches were also singled out: Victoria Island, Lagos Central and Lekki, which together accounted for approximately 40% of the Fund's total collections during the period under review.

The Regional MPR serves as NSITF’s key platform to assess performance, review resolutions from previous meetings, and agree on practical steps to strengthen compliance with the Employees’ Compensation Act and expand coverage nationwide.