•Bill to amend 2024 budget scales second reading in NASS

From Adesuwa Tsan and Ndubuisi Orji, Abuja

Both chambers of the National Assembly yesterday passed a bill to repeal and re-enact N43.5trillion 2024 Appropriation Act through second reading on the request of President Bola Tinubu.

The bill signals a move to overhaul Nigeria’s budget implementation framework in a bid to end overlapping budget cycles and strengthen legislative oversight of public spending.

Leading the debate on the 2024 Appropriation Act (Repeal and Re-enactment) Bill, 2025 after a letter addressed to Senate was read earlier by Senate President Godswill Akpabio, the Senate Leader, Opeyemi Bamidele, said the legislation is intended to correct structural weaknesses in the existing budget framework rather than merely amend figures.

The Bill seeks authorisation for the Federal Government to spend N54.56 trillion from the Consolidated Revenue Fund of the Federation for the year ending December 31, 2025. The proposed expenditure includes N1.74 trillion for statutory transfers, N8.27 trillion for debt servicing, N11.27 trillion for recurrent non-debt expenditure, and N22.28 trillion for capital expenditure and development fund contributions.

Bamidele said the central purpose of repealing and re-enacting the 2024 Appropriation Act is to halt the practice of running multiple budgets simultaneously, a situation that has persisted in recent years and complicated fiscal management.

According to him, the version of the 2024 budget passed in 2025 allowed for overlapping appropriation cycles, which weakened budget clarity and blurred accountability across Ministries, Departments and Agencies. The amendment Bill, he said, seeks to establish a clearer and more orderly appropriation mechanism.

He explained that the Bill also provides a legal framework for consolidating and regularising expenditures already incurred or required in response to emergencies, including security challenges, humanitarian situations and economic shocks, while ensuring such spending remains subject to parliamentary approval.

Under the amendment, the Senate is strengthening control mechanisms that were either weak or unclear in the earlier version of the Act. The Bill expressly requires that appropriated funds be released and applied strictly in line with schedules approved by the National Assembly, limiting executive discretion in the use of funds.

It also introduces a stricter regime for virement, making it clear that budgetary reallocations can only be carried out with the prior approval of the National Assembly, unlike under the existing framework where such powers were less clearly circumscribed.

In addition, the amendment narrows the scope for corrections or corrigenda, confining them strictly to genuine errors that could hinder implementation, and mandates the separate recording of excess revenue, with any expenditure from such funds subject to explicit legislative authorisation.

Bamidele said the Bill further strengthens transparency and accountability through enhanced due-process requirements and periodic reporting on fund releases, expenditures, revenues and external assistance.

He told senators that the repeal and re-enactment of the Appropriation Act is aimed at consolidating past fiscal actions, clarifying ambiguities in the current law and providing a firmer statutory basis for budget implementation going forward.

The bill was referred to the Senate Committee on Appropriations, with a report expected on Friday, when President Tinubu is expected to lay the 2026 budget.

President Tinubu had urged the Senate to approve the Appropriation Repeal and Re-enactment Bill II of 2024.

The request was conveyed in a letter addressed to President of the Senate, Godswill Akpabio, and read at plenary yesterday.

Tinubu said the request was in line with established constitutional and legislative appropriation processes.

He said the proposal sought the authorisation for the issuance of N43.5 trillion from the consolidated revenue fund of the federation for the year ending December 31.

The president said that the sum comprised N1 trillion for statutory transfers; N8.2 trillion for debt services; N11.2 trillion for recurrent non-debt expenditure and N22.2 trillion for capital expenditure and development fund contribution.

He said the bill was designed to end the practice of running multiple budgets, while ensuring high capital performance rates for the 2024 and 2025 capital budgets.

Tinubu said the proposal provided a transparent and constitutionally-grounded appropriation mechanism.

This, he said, was for the orderly consolidation of critical and time-sensitive expenditures undertaken in response to emergency exigencies.

Tinubu stated that the bill would advance the collective well-being of Nigerians, safeguard national security, reinforce fiscal discipline, accountability and broader public financial management.

He said the bill would also strengthen implementation discipline and accountability.

“The bill will ensure that appropriated funds are released and applied strictly for purposes specified in the schedules.”

Tinubu said the proposal which provides that virement could only be effected with prior approval of the national assembly,

sets out conditions for corrigenda where genuine errors might hinder implementation.

The president said the bill would ensure separate recording of excess revenue, while limiting its expenditure to act or approval of the national assembly.

He said that it mandated due process compliance and periodic reporting on fund releases and revenue of MDAs.

Tinubu urged the senate to consider expeditious passage of the bill.