Reported by Weng Patrick Atokor l Journalist at Weng Global
The Central Bank of Nigeria (CBN) has introduced a digital fiscal reporting initiative covering the country’s 36 states, the Federal Capital Territory (FCT) and 774 Local Government Areas (LGAs), in a move aimed at improving the accuracy, reliability and timeliness of government financial information.
The initiative is designed to replace the largely manual system used in collecting sub-national fiscal data with a digital platform that will standardise reporting, strengthen data validation and support more frequent submissions by state and local governments.
The development is expected to improve the information available to policymakers when assessing government revenue, public expenditure, borrowing requirements and wider economic conditions.
The CBN disclosed the initiative following a Sub-National Fiscal Statistics Stakeholders’ Engagement held in Abeokuta, Ogun State, where government officials and fiscal officers received guidance on implementing the new reporting process.
The programme is being coordinated through the CBN’s Statistics Department as part of broader efforts to strengthen Nigeria’s economic data infrastructure.
CBN Targets More Reliable Government Financial Information
According to the apex bank, the digitalisation programme is intended to address longstanding challenges associated with collecting and processing financial information from state and local governments.
Under the previous arrangement, the Sub-National Fiscal Survey relied largely on manual reporting and was conducted twice a year. The process faced difficulties involving delayed submissions, logistics, data verification and the processing of information received from different government institutions.
The new digital system is expected to simplify the collection of fiscal information while introducing more standardised data entry, improved validation procedures and better monitoring of submissions.
It will also provide mechanisms for identifying and correcting reporting errors, making it easier to track changes and improve the consistency of financial records.
An important objective is to support a transition towards more frequent, sustainable quarterly reporting of fiscal returns by sub-national governments.
This would give economic policymakers access to more regular information about financial activities across Nigeria’s different levels of government.
CBN Explains Importance of Digital Fiscal Survey
Speaking at the stakeholder engagement in Abeokuta, the Director of the CBN’s Statistics Department, Dr Usman Moses Okpanachi, explained that the initiative was intended to strengthen the connection between financial transactions recorded by government institutions and evidence-based economic policymaking.
He said reliable fiscal statistics were essential for understanding government revenue performance, expenditure patterns, financing requirements and emerging financial pressures.
The information is particularly important because activities at state and local government levels contribute to the wider economic environment.
For instance, government spending can influence economic demand, while borrowing decisions and revenue performance can affect liquidity conditions and the financial requirements of public institutions.
The availability of more timely fiscal information would therefore help policymakers develop a clearer understanding of economic developments and make better-informed decisions.
Okpanachi also stressed that digital technology alone would not guarantee accurate financial reporting.
He explained that the effectiveness of the system would continue to depend on proper record-keeping, reconciliation of financial information and professional judgement by the officials responsible for submitting government data.
The CBN consequently urged participating governments to prioritise accuracy, institutional responsibility and consistency throughout the implementation process.
States and Local Governments Receive Implementation Training
As part of the rollout, the CBN commenced a nationwide stakeholder engagement on October 26, 2026, to familiarise state and local government officials with the digital reporting platform.
The training sessions are designed to provide practical guidance on using the digital questionnaire, meeting data validation requirements and completing submission procedures.
Participating fiscal officers are also being trained on how to identify and correct errors in submitted information.
According to the CBN, the exercise had covered 16 states and their respective local governments as of November 6, 2026.
The bank reported strong participation from government institutions, with attendance reaching 100 per cent in almost all the states visited.
The nationwide engagement is expected to cover the remaining states by December 4, 2026, while training sessions for the Federal Capital Territory are scheduled for December 9 and 10.
Following the exercise, trained officers are expected to share the knowledge acquired with other personnel within their respective institutions.
They will subsequently begin submitting fiscal returns through the digital platform, while the CBN’s Statistics Department will consolidate the implementation outcomes into a national report. Channels Television +2
CBN Identifies Three Priorities for Successful Implementation
Beyond introducing the technology, the CBN has identified institutional commitment and responsible financial reporting as important conditions for the initiative’s success.
Okpanachi urged state and local governments to focus on three key principles: timeliness, integrity and continuity.
Timeliness requires government institutions to submit their financial information promptly rather than allowing reporting delays to affect the availability of economic data.
Integrity involves ensuring that figures are properly checked, validated and reconciled before they are submitted through the platform.
Continuity requires participating governments to appoint designated officers responsible for coordinating fiscal reporting activities, ensuring that the process continues even when personnel are transferred or reassigned.
These requirements are important because a digital reporting platform can improve how information is collected and processed, but it cannot automatically guarantee that the original financial records supplied by government institutions are accurate.
The CBN has therefore emphasised that technology must complement sound financial administration rather than replace established accounting and reconciliation responsibilities.
The bank has also assured participating governments of continued technical and operational support through its branches and Statistics Department. Punch Newspapers +2
How the Initiative Could Improve Nigeria’s Economic Policymaking
The introduction of digital fiscal reporting has implications beyond the administrative activities of state and local governments.
Nigeria operates a multi-tier system of government in which federal, state and local authorities undertake different responsibilities and manage public resources.
Understanding the financial activities of these different levels is important for assessing the country’s overall economic position.
When information about government revenue, expenditure and financing activities is delayed or inconsistent, policymakers may find it more difficult to obtain a complete picture of public-sector financial developments.
A more regular reporting system could help reduce these information gaps.
For the CBN, improved fiscal statistics could strengthen the information used in monetary policy decisions, particularly when assessing the relationship between government spending, liquidity, borrowing conditions and inflation.
The initiative could also help provide a clearer picture of fiscal developments that influence the wider financial system.
For example, information about state and local government spending patterns can help policymakers better understand changes in public-sector demand for goods and services.
Similarly, more consistent information about government financing requirements could improve assessments of borrowing pressures and developments within the domestic financial market.
However, the digital platform should not be interpreted as a direct mechanism for reducing inflation, increasing government revenue or eliminating public-sector financial challenges.
Its immediate purpose is to improve the quality, availability and frequency of fiscal information that supports economic planning and decision-making.
Implications for State and Local Government Administration
State and local governments are expected to play a central role in determining whether the new reporting arrangement achieves its objectives.
The effectiveness of the system will depend on the ability of their finance departments, treasury offices and other relevant institutions to maintain accurate records and submit information consistently.
The requirement for designated reporting officers is particularly important because fiscal information is often handled by different departments and agencies within government structures.
Without proper coordination, inconsistencies may arise when financial information is compiled from multiple institutions.
The digitalisation process could encourage greater standardisation in how these institutions prepare and submit financial returns.
It may also make it easier for the CBN to identify incomplete submissions and discrepancies that require further clarification.
For state governments, improved fiscal information could support more informed budgeting, expenditure monitoring and financial planning.
At the local government level, reliable reporting could strengthen the information available for assessing revenue collection, spending priorities and financing needs.
Nevertheless, the benefits will depend on whether participating institutions consistently use the platform and maintain the quality of the underlying financial records.
Nairametrics +2
Why More Frequent Fiscal Reporting Matters
One of the significant aspects of the initiative is the proposed transition towards quarterly fiscal reporting.
The previous twice-yearly survey arrangement meant that information collected from sub-national governments was not necessarily available at the frequency required for closer economic monitoring.
Moving towards quarterly submissions could provide a more regular flow of information about government financial activities.
This is relevant in an economy where changes in revenue, expenditure and financing requirements can influence broader economic conditions.
More frequent reporting could also help policymakers identify emerging fiscal pressures earlier and assess whether government financial activities are changing over time.
For example, changes in revenue performance could provide useful information about the financial position of individual states, while expenditure trends could help explain developments in public-sector demand.
The quality of such assessments, however, will depend on the completeness and consistency of the figures submitted.
The CBN’s emphasis on validation, reconciliation and institutional continuity therefore remains central to the success of the proposed reporting arrangement.
CBN’s Broader Economic Data Transformation Agenda
The digital fiscal reporting initiative forms part of the CBN’s wider efforts to modernise Nigeria’s economic data architecture and improve the information available to financial and fiscal authorities.
The move also comes amid efforts to strengthen coordination between monetary and fiscal policymaking institutions as Nigeria continues to address inflationary pressures, public finance challenges and broader macroeconomic concerns.
The availability of more reliable information from state and local governments could help improve the assessment of economic developments across the country.
It could also support more informed discussions about public spending, revenue mobilisation, fiscal sustainability and the relationship between government financial activities and monetary conditions.
However, the long-term impact will depend on the consistency of reporting, the quality of information supplied and the willingness of participating governments to maintain the new procedures.
What Happens Next?
The immediate priority is to complete the nationwide stakeholder engagement and ensure that fiscal officers across the states and local governments understand how to operate the digital reporting platform.
The remaining state engagements are expected to conclude by December 4, 2026, while the FCT training sessions are scheduled for December 9 and 10.
After the training, participating officers are expected to begin submitting fiscal information through the digital system.
The CBN’s Statistics Department will subsequently compile the outcomes of the implementation exercise into a national report.
The effectiveness of the initiative will ultimately be assessed through improvements in the completeness and consistency of fiscal returns, faster submissions, stronger data validation and the availability of more reliable information for economic decision-making.
For Nigeria, the development represents an important administrative step towards improving how financial information is collected from sub-national governments.
Whether it delivers lasting improvements will depend not only on the technology introduced by the CBN but also on the commitment of state and local government institutions to accurate record-keeping, transparent reporting and regular submission of financial information.
Weng Global – Stories beyond borders
Sources
- Central Bank of Nigeria (CBN) – Stakeholder engagement and digitalisation initiative, as reported in its official statement.
- Channels Television – CBN Digitalises Sub-National Survey Across States, FCT, LGAs
- Punch – CBN Introduces Digital Fiscal Reporting for States, LGAs
- Voice of Nigeria – Nigerian Central Bank Digitalises Fiscal Data Collection
- Nairametrics – CBN Digitalises Fiscal Data Collection Across 36 States, FCT and 774 LGAs
