Enugu State allocates N10b for rail, expands Enugu Air, invests in transport, aviation, and vehicle manufacturing to drive economic growth in 2026.
Enugu State Government has allocated a total of N10 billion in its 2026 budget as the state’s equity contribution to the first phase of a 135.5km standard gauge rail project, marking a major milestone in Governor Peter Mbah’s ambitious plan to transform the state’s transport system.
This budgetary allocation was disclosed by Commissioner for Budget and Planning, Chris-Roberts Ozongwu, during a detailed briefing to journalists.
The rail project, he explained, is designed to establish a multimodal transport network in the state, integrating rail, tram, and inland water services alongside existing road transportation.
“This initiative is in line with Governor Mbah’s commitment to provide modern, efficient, and sustainable transport options for residents and businesses,” Ozongwu said.
Notably, the rail line is planned to extend toward neighboring Southeast states, ensuring seamless inter-state connectivity and economic linkages.
Governor Mbah had earlier, on December 2, presented a N1.62 trillion spending proposal, christened the “Budget of Renewed Momentum,” to the Enugu State House of Assembly.
This budget represents a Southeast record and a 66.5 percent increase over the revised N971 billion 2025 budget.
The proposal allocates N1.3 trillion to Capital Expenditure, representing 80 percent of the total budget, while Recurrent Expenditure accounts for N321.2 billion or 20 percent.
In addition to the rail project, the Enugu State 2026 Budget also emphasizes aviation expansion.
Enugu Air, the state-owned airline launched in July with three aircraft, has performed lucratively, prompting the government to add three more planes by the end of this year, increasing the fleet to six.
By 2026, the fleet is expected to grow to 20 aircraft, enhancing regional connectivity and reinforcing Enugu’s role as a West African aviation hub.
To complement the airline expansion, the government has earmarked N10 billion for the Akanu Ibiam International Airport concession.
The investment aims to transform the airport into a regional aviation and logistics center, capable of attracting businesses, cargo operators, and international travelers.
These strategic moves reflect the administration’s ambition to develop Enugu into a pivotal economic and transport hub in West Africa.
Another key aspect of the Enugu State 2026 Budget is the vehicle manufacturing program.
N10 billion has been allocated to assemble 2,100 taxis, which will support both the state’s youth empowerment scheme and the Distress Response Squad (DRS), the state’s special police unit.
According to Ozongwu, these interventions are designed to generate employment, stimulate local manufacturing, and strengthen public security services.
The budget also prioritizes economic and social development. Ozongwu noted that 51.1 percent of the total allocation targets the economic sector, while 40.1 percent is devoted to social sector initiatives.
“These allocations underscore the administration’s commitment to private sector-led economic growth and human development.
The government operates with a private sector mindset, ensuring efficiency and accountability in public expenditure,” he explained.
Reflecting on the achievements of the past year, Ozongwu stated that the government had achieved approximately 85 percent of its performance goals.
“We are confident that with the 2026 budget, we will surpass this performance and move closer to 90 percent efficiency across all sectors.
“Enugu State has the personnel, expertise, and resources to deliver on these ambitious plans,” he said.
The budget, according to the commissioner, is a clear signal to investors.
“Enugu State is a conducive environment for investment. We are creating a feel-good factor, where every investment is protected, and returns are maximized. We invite businesses and entrepreneurs to join us in this success story,” Ozongwu added.
Ireport247news
