Senate reviews 2025 spending plan, cuts budget to N43.56trn
The Senate has begun deliberations on a bill to repeal and re-enact the 2024/2025 Appropriations Act, following a proposal for a revised federal budget totaling N43.56 trillion.
The bill, transmitted earlier on Wednesday by President Bola Tinubu, was presented during plenary and successfully passed its second reading.
Under the proposed spending plan, N1.74 trillion has been set aside for statutory transfers, while N8.27 trillion is earmarked for debt servicing. Recurrent non-debt expenditure is projected at N11.27 trillion, and capital expenditure alongside development fund contributions is estimated at N22.28 trillion.
As part of its review process, the Senate has summoned key economic officials Wale Edun, minister of finance; Atiku Bagudu, minister of budget and national planning; and Zacch Adedeji, chairman of the Federal Inland Revenue Service (FIRS) to appear before the Senate Committee on Appropriations to provide further details on the proposed budget framework.
Leading the debate, Senate Leader Opeyemi Bamidele described the amendment as a major structural reform aimed at improving fiscal governance. He explained that the bill seeks to eliminate the long-standing practice of operating multiple budget cycles simultaneously, which he said has historically weakened transparency, accountability, and fiscal discipline across government agencies.
According to Bamidele, the proposed legislation creates a legal framework to consolidate and fund expenditures that are urgent, unavoidable, and time-sensitive, while maintaining strict legislative oversight. He noted that the approach strikes a balance between responsiveness to national needs and responsible fiscal management.
The senate leader added that the bill introduces stronger safeguards to ensure that funds are released and utilized strictly for purposes approved by the National Assembly. He further stressed that any virement would require prior legislative approval, reinforcing the legislature’s constitutional authority over public finances.
“These measures reaffirm the power of the purse vested in the legislature and ensure that executive flexibility does not result in fiscal opacity or misuse of public funds,” Bamidele said, adding that the reforms would enhance public confidence in the management of government resources.
Following the debate, the Senate, presided over by Deputy Senate President Barau Jibrin, formally advanced the bill to the Senate Committee on Appropriations, chaired by Solomon Adeola, for further legislative consideration.
