South East Development Commission Faces Issues

The creation of the South East Development Commission (SEDC) was broadly welcomed in the region as a necessary intervention to spur sustainable economic growth and position the area as a leading investment destination by 2035. The South East region consists of the five major Igbo‑speaking states: Abia, Anambra, Ebonyi, Enugu and Imo.

As a well‑meaning South Easterner, I have been following the SEDC’s activities closely. In July 2025—exactly six months after the President inaugurated the pioneer board—the commission released a 10‑year roadmap aimed at transforming the South East through investment, public‑private sector partnerships and innovative financing, with support from the United Nations Development Programme (UNDP).

Guided by this roadmap, the SEDC moved into action. The commission’s vision is “to position the South East as the preferred investment destination in Africa by 2025,” and its mission is “to drive sustainable development, economic growth and unity in South East, through strategic investments and empowerment initiatives.”

The roadmap sets out five strategic objectives: to collaborate with state governments, the private sector, development partners and Development Finance Institutions (DFIs) to achieve a $200 billion economy by 2035, leveraging key growth sectors such as agriculture, industrialisation, the creative economy and tourism; to pursue transformative high‑impact projects that catalyse regional economic development—including infrastructure, energy and technology hubs; and to enhance the ease of doing business by improving infrastructure, providing regulatory support and access to finance, thereby making the region a preferred investment destination.

The roadmap also incorporated public expectations, drawing on feedback from social media users. Of the responses received, 46 percent favoured the construction of a regional railway, 32 percent a gas pipeline, 14 percent a sea/river port, and 8 percent a federal highway/road project.

The take‑off plan detailed stakeholder engagement with the South East Governors and the organised private sector (OPS). Highlights of the engagement with governors included aligning the SEDC mandate with each state’s development agenda and collaborating on the execution of priority projects in individual states in line with the Renewed Hope Agenda of the Tinubu administration. The commission will support existing industrial park/cluster projects championed by governors and develop a long‑term South East development plan that clearly delineates the roles of the state, SEDC, the private sector and development partners.

Similarly, OPS members were presented with the broad SEDC roadmap and provided feedback. Key drivers of accelerated industrialisation were identified, particularly for gas infrastructure. The roadmap emphasised the importance of viewing the region as a single economic bloc, improving the ease of doing business, and committing to periodic engagements with the private sector to ensure that SEDC projects align with private sector needs.

Finally, the roadmap listed the commission’s proposed projects and programmes, such as the South East Security Intervention Programme, the South East Regional Economic and Industrial Programme, the South East Agro‑Development Programme, and the establishment of the South East Investment Company (SEIC), which has been approved by the President. The SEDC is currently the only regional commission that has received presidential approval to establish an investment company.

Other projects and programmes include project preparation‑feasibility studies, business case development, geographical studies and detailed engineering designs; Renewed Hope Housing and New Market Development; Renewed Hope Agenda Community Social Impact Programmes; the South East Venture Capital Fund of $50 million; the South East Youth Entrepreneurship and Empowerment Programme; the South East Grassroots Recreation Infrastructure Development (SEGRID) programme; and Talent Development and Leadership initiatives, among others. The roadmap contains details of these programmes.

In addition to developing the roadmap, SEDC’s management has been prudent and resourceful in using the funds received from the Federal Government. Public information indicates that out of the N140 billion budgetary allocation approved for the commission by the National Assembly, it has so far received about N16 billion—representing 11 percent of the allocation.

Evidence shows that the commission’s management has been judicious in spending. For example, rather than hiring a new contractor to complete its permanent headquarters donated by the Enugu State Government, the commission brought back the contractor who built the four‑story building to assess the cost of making the building ready for use.

Based on the contractor’s assessment, the commission decided to fund the completion of the permanent headquarters from Federal Government disbursements. The contractor assured that the building would be ready for use by the end of August this year.

Equally, to conserve funds, SEDC has been operating with seconded staff from federal ministries. Although each newly established regional commission received approval from the Federal Government to recruit 50 staff, SEDC has not employed anyone. Insiders say the recruitment was delayed to avoid hiring people who would remain idle in Enugu when their offices are not ready.

A few days ago, the Senate Committee on SEDC launched a purported probe into financial mismanagement and accountability issues concerning the 2025 budget of the commission. The committee, led by Senator Orji Uzor Kalu of Abia Central, alleged that the commission could not account for how it spent N3 billion out of the N16 billion budgetary allocation. Senator Kalu highlighted key issues under investigation, including questionable expenditures such as an N153 million payment for a one‑room office in Abuja and an N2.5 billion line item classified as “implied expenditure.” The former Abia State Governor, who has questioned SEDC’s contribution to the South East since its creation, noted that Central Bank of Nigeria (CBN) records indicated only N13 billion remains from the N16 billion released to the commission by the Federal Government.

However, SEDC Managing Director Mark Okoye defended the agency’s spending. Okoye explained that contracts were awarded based on actual cash releases to prevent the accumulation of unfunded liabilities, rather than spending based on full budgetary provisions.

Okoye stated that the one‑room office in Abuja serves as the commission’s liaison office. He added that the management and board have prioritised relocation to the permanent office in Enugu at the earliest possible opportunity.

Without prejudice