**FG Clarifies: Nigeria's Fiscal Position Not in Collapse, but Undergoing Correction** The Federal Government has responded to concerns about Nigeria's public finances, stating that the country is not facing a fiscal collapse but rather undergoing a necessary correction. According to the Federal Ministry of Finance, the nation's fiscal system is undergoing a difficult but crucial transformation after years of mismanagement of public revenue and expenditure. In a statement, the Ministry of Finance explained that recent worries about low capital releases to Ministries, Departments, and Agencies (MDAs) stem from a misunderstanding of Nigeria's fiscal system. Specifically, the difference between Federation finances and the finances of the Federal Government has been misinterpreted. The ministry noted that although Federation revenues may appear stable, the Federal Government's share can drop significantly when oil revenue underperforms. For instance, in 2025, projected oil and gas revenue stood at N37.4 trillion, but actual inflows were only about N7 trillion, representing a paltry 19% performance rate. This means that if the projections had been met, the Federal Government alone would have received an additional N15 trillion in revenue. The clarification comes in the wake of recent appearances by the Minister of Finance, Mr. Wale Edun, before the Senate and the House of Representatives, where lawmakers sought explanations on fiscal performance and capital expenditure execution. In essence, the FG is reassuring Nigerians that the current fiscal challenges are not a sign of collapse but rather a necessary correction to the country's fiscal system. The ongoing reforms aim to address the structural distortions in public revenue and expenditure management, ultimately leading to a more stable and sustainable fiscal position for the nation. This clarification is timely, considering Nigeria's economic woes and the need for fiscal discipline. By setting the record straight, the FG hopes to deepen public understanding of the country's fiscal position and provide reassurance that the current challenges are a step towards a more stable future.