Nigeria’s state oil major, the Nigerian National Petroleum Company Limited (NNPC), has withdrawn from a flagship infrastructure program launched under former president Muhammadu Buhari, after providing more than $577mn and 822bn naira over a 16-month period, as reported by Nairametrics.

The Nigerian National Petroleum Company Limited (NNPC) was the largest contributor to the Road Infrastructure Tax Credit Scheme, which allowed private companies to fund federal road projects in exchange for future tax offsets. Payments by NNPC, spanning both US dollars and naira, were made between February 2024 and May 2025, according to data from the Federation Account Allocation Committee. Its final foreign-currency payment of $52.5mn was made in December 2024.

The withdrawal creates a financing gap of about 3tn naira (around $2bn) for road projects already underway. President Bola Tinubu has instructed the Ministry of Works to explore alternative funding models, including public-private partnerships, to avoid delays and cost overruns.

NNPC’s exit follows its 2021 incorporation as a limited liability company, part of a broader strategy to operate on a commercial basis and move away from quasi-fiscal roles. The shift places greater pressure on the federal government to secure sustainable funding for infrastructure without relying heavily on oil-sector resources, which remain the country’s main source of foreign exchange.