The Nigerian government is set to implement a new Community-Based Procurement (CBP) policy, aimed at ensuring that public spending translates into measurable development at the community level. According to the Director-General of the Bureau of Public Procurement (BPP), Dr. Adebowale Adedokun, the policy represents a significant philosophical shift in Nigeria's procurement system. The CBP model seeks to involve communities in identifying priorities, validating requirements, and monitoring implementation of projects.
The need for this policy is underscored by the substantial public revenues transferred monthly from the Federation Account to states and local governments. In the first three months of 2026, states and local governments received approximately N3.85 trillion. However, the developmental impact of these allocations remains a concern. The BPP has linked CBP with inclusiveness, community ownership, and grassroots development, alongside complementary reforms including the Nigeria First Policy and digitalisation.
The current procurement system has been criticized for being top-down, with distant authorities deciding what communities need, designing projects centrally, and selecting contractors. In contrast, Community-Based Procurement reverses this logic, starting with the question: What does this community actually need? Communities can participate in identifying priorities, validating requirements, observing procurement, monitoring implementation, and confirming delivery.
The Community-Driven Development approach offers a foundation for Nigeria's CBP policy. International experience has shown that community-based approaches allow beneficiaries to participate in identifying priorities and implementation. This approach is fundamentally different from the traditional top-down model and has the potential to increase community ownership and satisfaction with public projects.
To ensure the success of CBP, the policy emphasizes the importance of competitiveness, transparency, and auditability. Simplified competitive procedures can be used, local suppliers can provide quotations, and standard specifications can be developed. Prices can be compared against regional benchmarks, and awards can be publicly displayed. Community representatives can serve as observers, and payments can be tied to verified milestones.
Nigeria's 774 Local Government Areas are expected to play a critical role in implementing the CBP policy. With increasing fiscal significance, local governments are better positioned to understand local infrastructure needs. The policy aims to build procurement capacity at the local government level, making it a major public finance question.
The implementation of CBP is expected to have a positive impact on local development, ensuring that public spending produces measurable improvements in the lives of citizens. The policy is part of a broader effort to reform Nigeria's procurement system, making it more inclusive, transparent, and effective. With the approval of President Bola Ahmed Tinubu, the CBP policy is set to become a reality, bringing procurement closer to the people.
Key points
- The Nigerian government has approved the Community-Based Procurement policy to ensure public spending produces measurable development at the community level.
- The policy aims to involve communities in identifying priorities, validating requirements, and monitoring implementation of projects.
- Local governments are expected to play a critical role in implementing the CBP policy, building procurement capacity to drive local development.
