The Budget Office of the Federation has defended the legality of Executive Order 9 (EO9), stating that the directive does not create new law but reinforces constitutional provisions governing the custody and management of Federation revenues.
In a statement issued on February 23, 2026, Director-General of the Budget Office, Tanimu Yakubu, said claims that the executive order amounts to lawmaking by the President are based on a misunderstanding of both the Constitution and the fiscal issues involved.
Yakubu explained that Section 80(1) of Nigeria’s 1999 Constitution (as amended) requires that all revenues or monies raised or received by the Federation must be paid into and form part of the Consolidated Revenue Fund. He noted that public funds cannot be lawfully retained or used outside constitutionally recognised accounts.
He further cited Section 162 of the Constitution, which mandates that all revenues accruing to the Federation must be paid into the Federation Account before being distributed according to constitutional allocation principles.
According to the Budget Office, Executive Order 9 is designed to operationalise these constitutional provisions within the oil and gas sector by directing the direct remittance of petroleum-related revenues—including royalties, taxes, profit oil and gas, penalties, and other receipts—into constitutionally recognised accounts. The order also seeks to improve reconciliation, transparency, and accountability in revenue collection and reporting.
Yakubu emphasised that the directive does not infringe on the legislative authority of the National Assembly, noting that it neither alters legislative procedures nor amends existing statutes such as the Petroleum Industry Act.
He said the order was issued under the executive powers granted by Section 5 of the Constitution, which empowers the President to ensure the faithful execution of laws and constitutional provisions.
The Budget Office added that any disputes regarding the constitutionality of Executive Order 9 should be resolved by the courts, stressing that the executive branch remains obligated to protect Federation revenues and uphold fiscal discipline.
Yakubu said the implementation of the order is expected to strengthen revenue integrity, enhance transparency in public finance management, and improve the credibility of statutory revenue distributions to the Federation Account Allocation Committee.
The statement comes amid ongoing public debate over the scope and implications of Executive Order 9 for Nigeria’s fiscal governance and constitutional framework.