Benefit Incidence Analysis of Education and Health Spending in Nigeria

This brief examines the beneficiaries of government expenditure in the social sectors of education and health, and answers the question of equity in the provision of social services among different income groups.


Publication Date: November, 2011

Volume Number: 1 Issue 3

Document Size: 4 pages


This volume presents the results of the Program Budgeting Analysis (PBA), the first analytical component of the Global Development Network’s (GDN) and Results for Development (R4D) project on Strengthening Institutions to Improve Public Expenditure Accountability (SIIPEA). The goal of this analysis is to deepen stakeholders’ understanding of the sources of funding and how money is allocated to, and spent in the social sectors of health and education, which are critical for pro-poor growth and poverty alleviation. The analysis focuses on Federal Government spending from 2006 to 2010.

Program Budgeting Analysis (PBA) presents a better and more “ground-covering” method of budget planning that can ensure a more even distribution of public resources to lacking areas. This makes it easier for policymakers to identify failing areas due to poor funding and rectify the situation. It is an informative tool, particularly for those interested in the legislative, political, and reform dimensions of public sector budgeting. Though Program budgeting analysis is somewhat technical, it is a way of gaining better knowledge of how government sets priorities in order to achieve optimum allocation of scarce resources. With emphasis on specific program objectives, budget data will become more informative, and more clearly, provide evidence of how resources are allocated to various programs by the government. In particular, the PBA helps to express the need for, and guides policymakers/government officials on how to deliver services to the community. 

The PBA shows that the present spending in the health sector is low, and to improve the country’s human capital development, government will need to increase spending in the primary health care and preventive health sub-sectors. This is also true for the primary and secondary education sub-sectors. Furthermore, there is the need to ensure commensurate service delivery for amounts spent in the tertiary education sub-sector.

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