In a significant move to bolster Nigeria’s foundational health system, the Federal Government has approved the disbursement of over ₦32 billion to the 36 states and the Federal Capital Territory. This funding, approved at the fourth quarterly Ministerial Oversight Committee (MOC) meeting for 2025, is earmarked to strengthen primary healthcare delivery and accelerate the expansion of health insurance coverage nationwide. This action represents more than a financial transaction; it is a critical investment in the systemic pillars of public health.
The release, drawn from the Basic Health Care Provision Fund (BHCPF), underscores a commitment to predictable, transparent financing. As explained by Ms. Kachallom Daju, Permanent Secretary of the Ministry of Health and Social Welfare, establishing a “quarterly rhythm” for MOC meetings and fund releases is designed to create stability. This allows state and local governments to plan and hire staff with greater confidence, moving away from the ad-hoc funding that has historically plagued the sector.
Beyond the Headline: What the ₦32 Billion Aims to Achieve
The funds are not a blank check. They are strategically channeled to improve three critical “gateways”:
- Service Provision: Direct support to Primary Healthcare Centres (PHCs) for essential drugs, equipment maintenance, and utilities.
- Financing: Subsidizing health insurance premiums for vulnerable populations, thereby increasing enrolment in state health insurance schemes.
- Accountability: Strengthening monitoring systems to ensure funds are used for their intended purposes, with civil society organizations (CSOs) playing a key watchdog role.
A pivotal innovation announced by Dr. Muyi Aina of the NPHCDA is the shift to BHCPF 2.0 guidelines. Starting in January 2026, PHCs will receive differentiated funding based on patient volume: ₦600,000 per quarter for low-volume facilities and ₦800,000 for high-volume ones. This replaces an inefficient flat-rate system. The goal is pragmatic: to align resources with actual demand, incentivize quality service delivery that attracts patients, and ultimately reduce the financial burden on individuals.
The Accountability Mechanism: Why This Disbursement is Different
Past health fund disbursements have often been opaque. The current MOC framework, as highlighted by Dr. Kelechi Ohiri of the NHIA, intentionally breaks that pattern. By publishing details of transfers from the 1% Consolidated Revenue Fund, the government enables public tracking. Implementing agencies are required to report back on fund utilization not just for the BHCPF, but across other health financing streams. The inclusion of ALGON, CSOs, and the private sector in the MOC creates a multi-stakeholder pressure system for accountability, particularly crucial at the local government level where most PHCs operate.
Context and Challenges: The Road Ahead to 2026
While officials reported progress—such as rising PHC attendance and a potential decline in out-of-pocket spending—the tone was cautiously optimistic. The major challenge identified for 2025 was simply the pace of progress. For 2026, the sector’s focus will shift to “accelerating impact” in areas like immunisation, maternal and child health, and nutrition (MAMI). The real test will be whether this sustained funding translates into tangible health outcomes that Nigerians can feel, such as reduced maternal mortality or higher childhood vaccination rates.
Bottom Line for Nigerians
This ₦32.88 billion disbursement is a critical piece of a larger reform puzzle. It signals a move toward institutionalized, accountable health financing. The success of this investment, however, hinges on effective implementation at the state and local levels. Citizens can engage by demanding transparency from their State Primary Health Care Boards and Health Insurance Agencies on how these funds are used to improve the specific PHC in their community. The promised transparency creates an opening for such civic engagement, making this not just a government initiative, but a shared national priority.
