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2025 Budget: Reps Demand Clarity on Unutilized Funds, Illegal Charges in Customs Financing

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…queries poor funding despite record revenue

…as Nigeria Customs propose N1.132trn for 2025, set N6.584trn revenue target
 
By Gloria Ikibah 
 
Chairman of the House of Representatives Committee on Customs and Excise, Rep. Leke Abejide, has expressed deep concern over what he described as the poor funding of the Nigeria Customs Service (NCS), despite the agency surpassing its revenue targets for 2024.
 
Rep. Abejide who stated this during the presentation of the NCS 2025 budget proposal before the committee on Monday, in Abuja, described the funding situation as “astonishing” given the Service’s record-breaking performance.
 
“I have gone through your 2024 Budget performance and was flabbergasted, astonished, surprised and lack of word to express the level of poor funding of Nigeria Customs Service,” he said.
 
He noted that despite the Customs generating ₦6.105 trillion in 2024—exceeding its ₦5.079 trillion target by ₦1.026 trillion or 20.21%, its actual funding for essential operational areas remained below par. According to Abejide, performance on personnel cost stood at 43.53%, overhead at 46.34%, and capital project execution at just 45.68%.
 
The lawmaker also expressed concern over the unexplained absence of expected revenue from the Comprehensive Import Supervision Scheme (CISS). 
 
“This committee would like to know, despite outperforming your target, yet you could not fund your Personnel cost, Overhead cost, and Capital projects both New and Ongoing projects.
 
“Another shocking revelation is that from January to December in 2024 the 60% of the 1% comprehensive import suspension scheme (CISS) which was part of the revenue source to fund your overhead, personnel cost and capital projects recorded zero revenue to your cover. It is in the opinion of this honourable committee that you should tell us what went wrong because the purpose of creating 1% CISS was to take care of service providers back then such as COTECNA, SGS, and GLOBAL SCAN who were responsible for valuation and the issuance of Risk Assessment Report (RAR) and maintain scanning operations. 
 
“Also payment is equally made to Web Fountaine Limited that provided network and automation to NCS but about 80% of these operations and work schedules have been taken over by Nigeria Customs Service therefore, why are you not getting your share of 60% of the 1% CISS?.”
 
Abejide therefore called for a detailed explanation, questioning why Customs was not receiving its share of the CISS funds, particularly since many of the outsourced services such as valuation, scanning, and automation have since been internalized by the NCS.
 
He also pointed to the legal ambiguity surrounding CISS and other sources of Customs funding. 
 
However, this committee is not unaware that CISS is not backed by any law in Nigeria. It is not LFN and even your 7% cost of collection is equally illegal as it is not in LFN. The only legal source of income back by the Act of Parliament as signed by the President of the Federal Republic of Nigeria into Law and is Gazetted in LFN is the 4% Free-On Board (FOB) which can be found in section 18(1a) of Nigeria Customs Service Act, 2023 (Federal Republic of Nigeria official Gazette No. 105 Lagos -9th June, 2023 Vol.110)”, Abejide emphasised.
 
Although the Comptroller-General of Customs, Mr. Bashir Adewale Adeniyi, was absent, having secured the committee’s approval to attend the World Customs Organisation (WCO) meeting, his Deputy, DCG BM Jibo, was permitted to stand in and present the 2025 budget.
 
Abejide noted the significance of Nigeria vying for the WCO Council Chairmanship for the first time since 1987/88, saying the opportunity “aligns with the broader vision of President Bola Ahmed Tinubu’s administration to revive Nigeria’s influence on the global stage.”
 
In his submission the Deputy Comptroller General of Nigeria Customs Service (NCS), Bello Jibo, presented a proposed budget expenditure of N1.132 trillion for the 2025 fiscal year, while setting a bold revenue target of N6.584 trillion. 
 
Jibo noted the Service’s strong performance in 2024, as he said: “The approved revenue target for the year 2024 stood at N5.079 trillion, but the Service remarkably collected N6.105 trillion from January to December 2024. This reflects a positive variance of N2.899 billion or 90.40% above the approved revenue target.”
 
He credited the performance to institutional commitment despite key challenges such as duty exemptions, dwindling cargo throughput, currency fluctuations, and government policy changes.
 
On expenditure for 2024, the Service had an approved budget of N706.43 billion, but received only N290.62 billion during the year. However, the actual utilization totalled N322.67 billion, distributed as follows:
  • Personnel Cost: N94.37 billion
  • Overhead Cost: N56.00 billion
  • Capital Cost: N172.30 billion
For 2025 budget breakdown, the revenue target of N6.584 trillion is drawn from:
  • Federation Revenue: N3.853 trillion
  • Non-Federation Revenue: N1.081 billion
  • Import VAT: N1.650 trillion
The projected expenditure of N1.132 trillion will be funded through:
  • 4% Free on Board FOB (2024): N1.070 trillion
  • 2% VAT Share of NCS: N33.01 billion
  • Ongoing Capital Projects: N29.05 billion
This will be allocated as follows:
  • Personnel Cost: N247.16 billion (21.82%)
  • Overhead Cost: N239.97 billion (21.19%)
  • Capital Cost: N645.42 billion (56.99%)
Jibo explained that the budget for personnel was based on a nominal roll of 16,245 existing staff and the planned recruitment of 3,927 cadets, amounting to:
  • Salaries & Allowances: N197.99 billion
  • Pension Contributions: N18.19 billion
  • NHIS Contributions: N9.55 billion
  • Group Life & Backlog Insurance: N17.67 billion
  • NSITF & ITF Payments: N3.64 billion
Overhead Costs
 
The NCS is proposing N239.97 billion for daily administrative operations:
  • Staff Loans & Advances: N10.00 billion
  • Maintenance (Buildings, Vehicles, Boats, etc): N7.60 billion
  • Utilities, Supplies & Office Equipment: N4.14 billion
  • Travel & Transport: N18.60 billion
  • Fuel for Operations: N7.40 billion
  • Training & Retraining: N7.30 billion
  • Financial & Miscellaneous Services: N169.06 billion
  • Consulting & Professional Services: N4.67 billion
 
Capital Expenditure
 
The capital allocation of N645.42 billion is detailed as:
  • Proposed Works: N197.16 billion
  • Proposed Supplies: N135.03 billion
  • Ongoing Works: N225.53 billion
  • Ongoing Supplies: N86.20 billion
  • Outstanding Liabilities: N1.50 billion
 
Strategies for Revenue Growth
 
To meet the 2025 targets, the Service outlined several strategic initiatives:
  • Implementation of the Unified Customs Information System for full automation.
  • Strengthened revenue recovery through Post Clearance Audit (PCA) and systems audit.
  • Rollout of Authorized Economic Operator (AEO) and Advanced Rulings to improve trade facilitation.
  • Deployment of more scanners and surveillance equipment at key ports and borders.
  • Engagement with stakeholders and security agencies to curb smuggling and revenue leakage.
  • Reintroduction of Excise Duties on telecom services and single-use plastics.
  • Review of Tax Expenditure Policy to limit excessive waivers.
  • Increased investment in capacity building and recruitment.
  • Prioritization of stakeholder engagement throughout the fiscal year.
“It is my prayer that the Senate and House of Representatives consider and approve this proposed budget,” Jibo noted
 
The presentation reflects an ambitious but structured fiscal plan as the Nigeria Customs Service seeks to drive higher revenue, modernize operations, and sustain national economic resilience.
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Chief of Army Staff approves new commanders for major formations across federation

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The Chief of Army Staff, Lieutenant General Waidi Shaibu, has approved a strategic reshuffling of senior officers across command, training, and staff positions in the Nigerian Army.

The appointments were announced on Saturday, June 27, 2026, by Acting Director of Army Public Relations, Colonel Appolonia Anele, who said the move was to enhance operational effectiveness and strengthen national security.

New GOCs for 3 and 6 Divisions–

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Major General WM Dangana has been appointed General Officer Commanding 3 Division Nigerian Army and Commander Joint Task Force Operation Enduring Peace. He replaces Major General EF Oyinlola.

Major General EI Okoro takes over as General Officer Commanding 6 Division Nigerian Army and Land Component Commander Joint Task Force South-South Operation Delta Safe, replacing Major General EE Emeka.

–Key command and staff changes–

Other major postings include:

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– Major General JR Lar: Commander, Army Headquarters Garrison
– Brigadier General OM Oyekola: Acting Military Secretary (Army)
– Brigadier General IB Buhari: Commander, Headquarters 63 Brigade
– Brigadier General K Rabiu: Commander, Headquarters 31 Artillery Brigade
– Major General SA Emmanuel: Commander, Nigerian Army Space Command
– Major General O Adegbe: Director, Intelligence and Security, Defence Headquarters

Brigadier General I Waziri remains Chief of Staff in the Office of the COAS.

Training and institutional appointments—

To deepen force readiness, Major General KE Chigbu was appointed Deputy Commandant, National Defence College, while Major General SD Makolo becomes Commandant, Nigerian Army Armour School. Africans& Diaspora

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Major General SO Adejimi is now Commandant, Nigerian Army School of Supply and Transport. Major General FS Etim will serve as Chief of Training, TRADOC NA. Brigadier General U Ahmad takes over as Commandant, Depot Nigerian Army, Zaria.

Major General KO Ukandu and Major General AI Allison were named Managing Director/CEO of Post Housing Development Limited and Managing Director of Defence Properties Limited, respectively.

–“Justify the confidence”–

Anele said Shaibu urged the new appointees to demonstrate “exemplary leadership, professionalism, innovation and unwavering commitment” to the Army’s mandate of defending Nigeria’s sovereignty and supporting civil authority.

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“The Nigerian Army remains resolute in its transformation drive and commitment to building a highly professional, combat-ready and people-oriented force,” Anele stated.

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Lokoja Court order on NDC: Seriake Dickson vows party will challenge order

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Leader of the National Democratic Party, NDC Senator Henry Seriake Dickson has vowed that NDC will challenge court directive.

Dickson in a statement he e-signed stated that the order lacked legal merit and their team of legal experts have been kept on standby to rubbish the move.

He said : “This morning, I, like several other leaders, officials, candidates of the NDC, and members of the public, was jolted by the order issued by the Federal High Court sitting in Lokoja and presided over by Honourable Justice Isah Dashen.

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“All I can say is that the order lacks legal merit and is intended to affect the foundational credibility and efforts of our party. The order is illegal and will not stand. It is against multi-party democracy, anti-democratic in nature, and aimed at narrowing and stifling the democratic space.

” It will be resisted by all of us and by all lovers of democracy in Nigeria.

“We have assembled our team of lawyers, and they are taking appropriate steps to set the order aside and restore normalcy. I call on all members, supporters, and candidates of the NDC to remain calm and continue with their normal political activities.

“This is only the first test of our commitment and resilience, both of which are not in doubt. Even this shall pass, and the NDC and all our candidates shall cruise to victory.

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“We are not naive to expect that the tremendous progress we have achieved in the last five months would go without attack, but this particular development came from a very unlikely source.

“The application by an unregistered association, which is not a registered political party and has no exclusive right to any logo under the law, is shocking.

“Moreover, it was not a necessary party to the suit because it had no interest in the subject matter. It did not apply for registration in 2025, it was not one of the 171 associations that applied, nor was it among the 21 associations shortlisted for registration.

“So, we know where this is coming from. It is coming from those who are shocked by the progress the NDC has made within such a short period as a result of our hard work and commitment to deepening multi-party democracy.

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“We will not allow this to slow us down or break our spirit. The struggle must continue.

“We will use appropriate judicial channels to correct the judicial anomaly that occurred under the watch of Honourable Justice Dashen. He has clearly erred in law, and we will take steps to correct it.

“All our candidates, supporters, and teeming voters across the country and beyond should hold on firmly and keep the faith. This development shows that our efforts have not gone unnoticed.

“I would also like to refer to my favourite quote on struggles “First they ignore you, then they laugh at you, then they attack you, then you win.”

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“We are under attack, as I have repeatedly said we should prepare for challenges such as this. But thereafter, we shall win.

“Even with today’s development, thousands of Nigerians are joining us in solidarity. In fact, thousands of Nigerians across the country registered as NDC members today to show their solidarity, sympathy and support for our party. All things work together for good.

” Men may act with evil intentions, but if it is not the will of God, He turns it around for our good.

“I sincerely thank Nigerians for the confidence they continue to repose in the NDC. Your support, encouragement, and belief in our vision only strengthen our resolve to continue the struggle to deepen multi-party democracy in Nigeria.

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OpenAI restricts limited release of new model to US only

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OpenAI on Friday launched a US-only preview of its latest powerful AI model series to a limited group of partners at the request of the US government, the company said.

The release comes two weeks after the White House took Silicon Valley by surprise by ordering OpenAI’s rival Anthropic to ban all foreign nationals from accessing its Fable 5 and Mythos 5 models, citing national security concerns.

Anthropic swiftly shut down all access to those models, saying it could not reliably comply with the restriction on foreign nationals.

The latest models from leading AI companies, such as Anthropic’s Mythos series and now OpenAI’s GPT-5.6, have drawn major concerns over their reportedly unprecedented ability to identify software vulnerabilities — weaknesses in code that hackers can exploit.

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Under pressure over the novelty of their capabilities, Trump earlier this month signed an executive order setting up a voluntary federal review of national security risks in advanced AI models before their release.

The White House has communicated little about how it will enforce its executive order — in which companies are understood to be participating voluntarily — and what models would fall under its review rules.

The intervention was striking for a White House that has otherwise pushed to loosen AI oversight — even moving to block states from writing their own rules.

The strong action against Anthropic has drawn accusations of government overreach, and OpenAI said it was uncomfortable with the process it was required to follow for its new models.

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OpenAI said it briefed the US government on its new models’ capabilities ahead of the launch and, at the government’s request, is beginning with a limited preview for a select group of trusted partners whose identities have been shared with authorities.

The partners are US-based, but OpenAI said overseas employees at those companies or entities would also have access to the new models.

“We don’t believe this kind of government access process should become the long-term default,” OpenAI said in a blog post.

“It keeps the best tools from users, developers, enterprises, cyber defenders, and global partners who need them. We are taking this short-term step because we believe it is the strongest path to broader availability in the coming weeks.”

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When Anthropic was initially targeted, some believed the safety-focused company was being unfairly singled out by the Trump administration for political reasons.

In an earlier clash with the White House, Anthropic angered Trump’s team by refusing to allow its technology to be used for mass surveillance and autonomous weapons, leading the Pentagon to cancel its contracts with the company.

That feud is now being litigated in two separate lawsuits.

– Three new models –

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OpenAI’s GPT-5.6 series comprises three new models: Sol, the company’s new flagship; Terra, a mid-range model for everyday work; and Luna, a fast, low-cost option.

Once broadly available, Terra would be priced at half the cost of its predecessor GPT-5.5, the company said, as it seeks to lock in customers amid fierce competition from Anthropic and Google.

Both OpenAI and Anthropic have filed confidential IPO documents with US regulators and are targeting public listings at valuations approaching $1 trillion, raising the commercial stakes of the AI arms race between them.

AFP

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