Legislature
Anchor borrowers loan Default: Senate asks CBN to debit commercial Banks at Source
Apparently piqued over the level of loan default by beneficiaries of Anchors Borrowers Programme of the Central Bank of Nigeria (CBN), the Senate has ordered the apex bank to debit the account of commercial banks that guaranteed the loans
The Senate adhoc Committee set up to investigate the printing of N30 Trillion by the CBN through its Ways and Means overdraft and the disbursement of Anchors Borrowers Programme under the Muhammadu Buhari administration issued order at its inaugural sitting on Tuesday.
At its session with officials of the apex bank led by Deputy Governor, Corporate Services, CBN, Bala Bello, the Senate adhoc team led by Senator Jibrin Isah, was peeved that the outstanding sum of N358billion stands the risk of being categorised as bad debt.
Senator Isah who was not impressed with explanations offered by officials of the apex bank to restructure the loans asked the apex bank to go after the collaterals offered by the defaulting beneficiaries, through the Commercial Banks
He said:”They defaulted and why do they default. You can’t restructure the loan forever.! You can go after the collateral, you must up your games, we need to recover these monies. We can’t continue to restructure forever.
“We are talking about N358b that hasn’t
been repaid and at the risk of default.
“For those that have defaulted, I suggest that we put a peg on the interest . Our focus should be on the principal. On that, those loans must have been guaranteed by the banks. I want to believe that those banks must have covered their backs through collateral. I am sure no bank will grant loans without collateral . “They must open up to you. We have the power to go through the whole hog by debiting them at source. We can do that, let them go to Court.”
Deputy Governor, CBN, Corporate Services, Bala Bello expressed regrets over the lack of supervision by the immediate past management of the CBN under its erstwhile Governor, Godwin Emefiele.
He assured the lawmakers that the new management was doing everything possible to recover outstanding loans.
“On our own part, I want to tell you that the new management of CBN have given us a mandate to get the money back. We are under responsibility to recover these money, they belong to tax payers. It saddens my heart to answer questions on things we don’t know. But we inherit both assets and liability. Things could have been done better.”
Speaking on the Ways and Means advances, the Chairman of the Senate adhoc Committee expressed disappointment that the CBN Act was observed in the breach by its immediate past Governor, Godwin Emefiele whom he noted unilaterally approved loans without recourse to the statutory approving authority, the Committee of Governors.
“Under the Ways and Means, Committee of Governors should have been the approving authority. But the CBN Governor did not do that, he unilaterally approved.
“We also want to know the total figure of the Ways and Means because what we have here, the figure didn’t add up. We want to know who got what . ”
Legislature
CNG Safety Under Scrutiny: NASS Questions Readiness as Explosions Raise Alarms
The National Assembly has called for a comprehensive reassessment of Nigeria’s Compressed Natural Gas (CNG) initiative following alarming reports of vehicle explosions attributed to uncertified conversions. Lawmakers are urging the Federal Government to prioritize rigorous adaptability tests to ensure the safety and suitability of the technology in Nigeria’s unique environment.
During the 2025 budget defense session of the Joint Committee on Petroleum (Downstream), Petroleum (Upstream), and Gas, Senator Natasha Akpoti (PDP, Kogi Central) questioned the adequacy of research conducted before rolling out the CNG program.
“Nigeria’s bumpy roads and hot climate differ significantly from the smooth and cooler environments where this technology originated. Were these factors considered before introducing CNG?” Akpoti asked.
Her concerns come amid incidents of explosions in CNG-converted vehicles. The Minister of State for Gas, Hon. Ekperikpe Ekpo, attributed these accidents to uncertified conversions carried out by roadside technicians, emphasizing that certified centers adhere to strict safety standards.
Ekpo also assured lawmakers that the technology had been evaluated by a Presidential Committee on CNG and affirmed its long-term viability. “CNG has come to stay,” he stated.
The session also highlighted budgetary concerns, particularly the Ministry of Petroleum’s 2025 capital allocation of N903 million. Lawmakers criticized the sum as inadequate to address Nigeria’s pressing energy challenges.
“For a ministry driving Nigeria’s energy transition, this allocation raises concerns about commitment to infrastructure and innovation,” remarked Hon. Kafilat Ogbara.
As Nigeria seeks to diversify its energy mix, the National Assembly has stressed the need for enhanced safety measures, proper implementation, and increased funding to fully realize the potential of CNG while ensuring public safety and trust.
Legislature
Umahi expresses Frustration over Fixing Nigerian Roads
***Seeks Support for Loans as Budgetary Provisions Fall Short
The Minister of Works, Senator David Umahi, has voiced his deep frustration over the state of Nigeria’s road infrastructure, highlighting inadequate yearly budgetary allocations as a major barrier to progress.
Speaking during the 2025 budget defense session before the Senate Committee on Works in Abuja on Friday, Umahi described the financial constraints as overwhelming. “I’ve succeeded in most of my life’s engagements, but I feel frustrated fixing Nigerian roads with these meagre allocations,” he lamented.
Umahi disclosed that President Bola Tinubu inherited 2,064 road projects valued at N13 trillion, but rising costs have pushed the estimated expenditure to N18 trillion. He noted that the N827 billion allocated for road infrastructure in the 2025 budget is grossly insufficient to address the challenges.
“Roads are critical to economic growth and poverty reduction. They create jobs and drive economic activities. However, fixing these roads cannot be achieved with yearly budget provisions alone,” he explained.
The minister urged Nigerians to support the government’s borrowing initiatives, assuring that the funds would directly impact citizens’ lives by boosting economic activities and reducing hunger.
Senators on the committee, led by Senator Mpigi Barinaga, praised Umahi for his efficient management of scarce resources and supported his call for alternative funding mechanisms. They acknowledged the scale of the work required and admitted that the proposed budget falls far short of what is needed to resolve Nigeria’s road infrastructure crisis.
The session concluded with a shared resolve to explore additional funding options to tackle the nation’s road challenges effectively.
Legislature
In another rowdy session, Lawmakers Demand Accountability Amidst Budget Defense Chaos
***Minister Lokpobiri Assures of Reforms, Apologizes for Lapses
The 2025 budget defense session for the petroleum sector took a contentious turn on Friday as the Senate and House of Representatives Joint Committee on Petroleum (Upstream, Midstream, Downstream, and Gas) erupted into disorder. Tensions flared over delays in budget documentation, with lawmakers decrying the Ministry of Petroleum Resources’ perceived lack of preparedness and respect for legislative protocols.
The meeting, chaired by Senator Jarigbe Agom Jarigbe, was already fraught with logistical challenges. The cramped committee room, bursting with lawmakers and ministry officials, became the backdrop for a fiery exchange that highlighted the strained relationship between the legislative and executive branches. Calls to relocate the session to a more accommodating venue went unheeded, adding to the frustration.
Before the session could proceed, Hon. Kelechi Nwogu raised a procedural objection, pointing out the absence of vital budget documents. “We cannot engage in a meaningful discussion without the necessary materials. This undermines the integrity of the process,” Nwogu asserted.
The Minister of State for Petroleum Resources, Senator Heineken Lokpobiri, faced sharp criticism for the disorganization. Hon. Ado Doguwa, Co-Chairman of the Joint Committee, accused the Ministry of fostering an adversarial relationship with the legislature. “Minister, we see you only once a year, and even then, the lack of collaboration is glaring. This is unacceptable,” Doguwa said, his frustration evident.
Lokpobiri, in an attempt to salvage the situation, apologized for the lapses. “Distinguished Senators and Honourable Members, I deeply regret this oversight. It was not intentional. The budget documents are being distributed as we speak,” he said. He assured lawmakers that the Ministry remained committed to supporting legislative oversight and improving future engagements.
However, Lokpobiri’s lighthearted remark that the documents were being delivered in “Ghana Must Go” bags—containing no money—elicited mixed reactions. While some lawmakers chuckled, others viewed it as a diversion from the seriousness of the issue.
Doguwa, accepting the apology, stressed the need for strict adherence to legislative guidelines. “While we appreciate the apology, the late submission of documents is a breach of procedure. This cannot continue. We demand accountability and timely cooperation moving forward,” he said.
The session ultimately ended in stalemate, with lawmakers insisting on postponing the meeting until all necessary documents had been reviewed. The debacle underscores the persistent challenges of executive-legislative coordination in Nigeria’s budgetary process, particularly in critical sectors like petroleum.
As the Joint Committee prepares to reconvene, stakeholders will be watching closely to see if the Ministry of Petroleum Resources can rebuild trust and ensure a smoother process in the future.
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