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South-East Lawmakers To Confer with Governors, Constituents Prior to Final Decision on Tax Reform Bills
Senators from Nigeria’s South-East region have decided to engage in further consultations with their state governments, constituents, and other relevant stakeholders before taking a final stance on the contentious tax reform bills currently under consideration in the National Assembly.
The decision, made under the aegis of the South-East Senators’ Forum, reflects the lawmakers’ desire to ensure that their position on the reform bills aligns with the collective interests and concerns of the people they represent. According to Senator Eyinnaya Abaribe, the leader of the caucus, the senators are committed to ensuring that the views of their constituents are considered before any final decisions are made.
Abaribe shared these details during a press briefing on Monday following a closed-door meeting of the South-East Senators at the National Assembly in Abuja. The bills in question—comprising the Nigeria Tax Bill 2024, the Tax Administration Bill, the Nigeria Revenue Service Establishment Bill, and the Joint Revenue Board Establishment Bill—were submitted to the National Assembly by President Bola Tinubu on October 3, 2024. These pieces of legislation are part of a broader effort to overhaul Nigeria’s tax system, with the goal of enhancing revenue generation and addressing inefficiencies in the country’s tax administration.
However, the proposed reforms have generated significant controversy, with opposition to the bills taking on ethnic and sectional tones. Critics argue that the reforms could disproportionately affect certain regions of the country, leading to fears of economic and social imbalances. In light of these concerns, the Senate established a committee to engage with a federal government delegation, led by the Minister of Justice and Attorney General of the Federation, Lateef Fagbemi, to address the criticisms and clarify the provisions of the bills. Unfortunately, the scheduled meeting of the committee last Thursday was postponed due to Fagbemi’s absence.
Commitment to Wider Consultations
While Senator Abaribe and other South-East lawmakers expressed general support for the tax reforms, they underscored the importance of conducting wider consultations to address the specific concerns of the South-East zone. Abaribe emphasized that although the senators were not opposed to the bills, it was crucial to consult with their constituents across the 15 senatorial districts in the region, as well as with state governments and other key stakeholders.
“We are not against the Tax Reform Bills currently before the National Assembly,” Abaribe stated. “However, we believe that broader consultations are necessary to ensure that the bills, when passed, are beneficial and equitable for all Nigerians, including our people in the South-East.”
He further explained that, despite their general support, the South-East senators wanted to ensure that the tax reform framework was equitable and took into account the region’s unique challenges and circumstances. “We have read through the bills, and we are prepared to share our understanding of the reforms with stakeholders in our zone,” he said. “Our objective is to ensure that the final outcome reflects the diverse needs of the country and doesn’t inadvertently marginalize any region.”
Abaribe’s comments underscore the senators’ commitment to making informed decisions that reflect the best interests of their constituents while ensuring that the tax reforms achieve the overarching goal of improving Nigeria’s fiscal health.
Support from Other Regions
The South-East senators’ position on the tax reforms contrasts with the stance taken by senators from the South-South region, who expressed full support for the reforms last Thursday. Senators from the South-South emphasized that, despite the criticisms, the reforms were necessary to strengthen the country’s revenue base and promote long-term economic stability. They also urged Nigerians to avoid making the debate about ethnicity or regional interests, stressing that the focus should be on the national interest.
The South-South senators also cautioned those opposing the reforms to refrain from framing their criticisms in ethnic, regional, or tribal terms. “The tax reform bills are intended to benefit all Nigerians,” they said, “and the opposition should be constructive, not driven by sectional or tribal sentiments.”
Next Steps and Future Outlook
As the debate continues, the South-East senators are expected to consult with various stakeholders, including local government officials, business leaders, and civil society groups, to gauge their opinions on the proposed reforms. The outcome of these consultations will likely influence the senators’ final position when the bills return for further debate in the National Assembly.
In the coming days, as discussions around the bills intensify, the role of the South-East senators will be critical in shaping the final version of the reforms. Their commitment to engaging with their constituents and other stakeholders highlights the importance of ensuring that any major policy changes reflect the interests and needs of the diverse regions of Nigeria.
Ultimately, while the tax reforms hold the potential to address long-standing fiscal challenges in the country, their success will depend on how well they are tailored to accommodate the diverse interests of Nigeria’s varied regions, and whether the necessary consultations are conducted to ensure a fair and balanced outcome for all.
By Gloria Ikibah
The National Assembly Joint Committee on Interior has suspended the budget defence of the Federal Fire Service (FFS) following significant discrepancies in the agency’s 2024 budget performance and 2025 proposal.
At a hearing chaired by Senator Adams Oshiomhole and his counterpart from the House, Chair Abdullahi Aliyu Ahmed, lawmakers flagged irregularities, including contradictory figures and inadequate documentation.
The committee uncovered discrepancies in the procurement of firefighting trucks, with similar units priced at N1.5 billion in one instance and N2.5 billion in another, despite being from the same supplier and of identical specifications.
The FFS Controller General, Jaji Abdulganiyu Idris, attributed the difference to variations in tanker sizes but failed to provide adequate supporting documentation.
Senator Oshiomhole criticized the inconsistencies, stating, “This reeks of over-padding or over-invoicing. Your written submission does not align with your explanation, and we cannot overlook this.”
Lawmakers also raised concerns about unclear contract commitments and an outstanding payment of N603 billion for ongoing projects, which lacked proper specifications.
Oshiomhole emphasized fiscal responsibility, saying, “Every N10 wasted by MDAs adds up. Our duty is to ensure that every naira benefits Nigerians, especially the poor.”
The committee further queried the FFS over unverified revenue remittances. Idris presented manual receipts as evidence, but the lawmakers rejected them, demanding proper bank statements and confirmation from the Accountant-General’s office.
As a result, the committee stepped down the FFS budget defence, instructing the agency to rectify its submission. Oshiomhole warned, “Submit a revised presentation with accurate figures, or risk zero allocation in 2025.”
The decision underscores the lawmakers’ commitment to accountability and efficient use of public funds, urging the FFS to address the issues promptly to secure its funding.
HouBy Gloria Ikibah
The Minister of Health and Social Welfare, Prof. Mohammed Ali Pate, has revealed that only 15.06 percent of the capital allocation for the health sector in 2024 has been released, significantly delaying the execution of critical projects.
Speaking during defence of the Ministry’s 2025 budget before the Senate and House of Representatives Joint Committee on Health, Prof. Pate attributed the delays to the bottom-up cash plan policy of the Office of the Accountant General of the Federation.
Out of the N233.656 billion allocated for capital projects in 2024, only N26.552 billion was released and utilized. The Minister also disclosed that the Ministry had not received any funds from the N57.393 billion earmarked for multilateral and bilateral loans.
Giving and overview of the 2024 budget performance, Prof. Pate detailed that the total 2024 budget for the Ministry stood at N242.14 billion, comprising:
- N7.48 billion for personnel,
- N998.74 million for overhead, and
- N233.66 billion for capital projects.
For 2025, the budget estimates have been slightly increased to:
- N10.36 billion for personnel,
- N1.59 billion for overhead, and
- N248.32 billion for capital projects.
On the Health Sector Vision and Strategic Goals, the Minister emphasised that the health sector operates within the framework of the Vision 20:2020, the National Development Plan (2021–2025), and the National Strategic Health Development Plan. These policies aim to guarantee the right to health for all Nigerians, guided by the National Health Act and the 2016 National Health Policy.
He stressed that the 2025 budget aligns with the government’s focus on universal health coverage, prioritizing:
- Strengthening the primary healthcare system,
- Enhancing equitable and efficient health service delivery, and
- Promoting socio-economic development through improved health outcomes.
Prof. Pate also highlighted that the budget preparation for 2025 adhered to the GIFMIS platform, ensuring resource allocation aligns with national priorities and ministerial deliverables.
Responding to lawmakers, the Minister called for national unity in advancing the health sector. He noted significant progress despite challenges, including:
- The provision of world-class facilities in federal hospitals,
- Investment in infrastructure and manpower development,
- Local drug production boosted by the President’s Executive Order signed in June 2024, which has empowered manufacturers to upgrade their operations.
He further lauded Nigerian medical personnel for their global demand, underscoring their competence and dedication.
The Minister reaffirmed the government’s commitment to improving healthcare delivery and urged Nigerians to recognize the positive developments in the sector.
HhouseBy Gloria Ikibah
The House of Representatives Committee on Federal Polytechnics and Higher Technical Education has reiterated that performance must justify any requests for additional funding by agencies in the 2025 budget.
Chairman of the Committee, Rep. Fuad Kayode Laguda, made this clear during the budget defence session of the National Board for Technical Education (NBTE), presented by its Executive Secretary, Professor Idris Bugaje.
Laguda acknowledged the funding challenges faced by polytechnics but emphasised the importance of demonstrating effective utilization of allocated resources before seeking more.
“Performance is very key. It is a known fact that polytechnics are poorly funded, but we need to justify why more resources are needed. To be honest, not all institutions have demonstrated this. The role of this committee is to ensure accountability and drive improvements”, he said.
He highlighted the importance of the NBTE’s role in technical education and urged the agency to foster better synergies among polytechnics and stakeholders. He also charged rectors to be proactive in introducing modern and relevant courses tailored to their environments.
Professor Idris Bugaje, while presenting the NBTE’s 2024 budget performance and 2025 proposal, called for increased budgetary allocation to address manpower shortages. He noted that the agency, responsible for supervising over 700 institutions, currently operates with only 330 staff, which he described as grossly inadequate.
“For personnel, we need improvement. Similar agencies with fewer institutions and more funds have more staff. We need more hands to adequately supervise these institutions,” Bugaje stated.
On internally generated revenue (IGR), Bugaje explained that earnings primarily come from service charges during accreditation visits. He revealed that the agency’s IGR for the year amounted to just N25 million, describing it as “dismally low.”
He further noted that the agency’s capital performance for 2024 stood at 50%, with the remaining half of the budget yet to be released.
“We need to introduce more contemporary programs and improve funding mechanisms to better meet the demands of technical education,” Bugaje added.
The session underscored the lawmakers’ commitment to ensuring transparency and efficiency in funding allocations while challenging agencies to enhance their performance to secure additional resources.
NASS Joint Committee Suspends Fire Service Budget Over Irregularities
Health Minister Decries Delayed Capital Funding, Highlights 2025 Budget Plans
2025 Budget: Reps Say Performance Is Criteria for Increased Funding
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