In the 2024 State of States Report recently released by BudgIT a civic organization that applies technology to intersect citizen engagement with institutional improvement , Rivers State retained its top position in fiscal performance, while Cross River and Kwara joined the top five, alongside Lagos and Anambra. Ebonyi and Kaduna exited the top ranks, and Jigawa replaced Zamfara at the bottom.
Kebbi showed the largest improvement, advancing 12 spots from 28th to 16th, while Jigawa experienced the sharpest decline, dropping 16 places to 36th. Rivers and Lagos emerged as the only states generating enough Internally Generated Revenue (IGR) to cover operating expenses, with IGR to expense ratios of 121.26% and 118.39%, respectively. Other states, including Ogun, Anambra, Cross River, Kwara, Kaduna, and Edo, managed to fund at least half of their operating costs with IGR, while others relied more heavily on federal transfers.
Several states, such as Akwa Ibom, Imo, Taraba, Yobe, Bayelsa, and Jigawa, required over five times their IGR to meet expenses, underscoring a significant dependence on federal allocations, aid, and grants.
Despite these challenges, all 36 states covered their recurrent expenditures without needing to borrow, aided by a 31.2% boost in combined revenue from N6.6 trillion in 2022 to N8.66 trillion in 2023. Lagos led revenue contributions with N1.24 trillion, accounting for 14.32% of the total revenue generated by all states.
