The National Assembly has summoned the Minister of Finance and Coordinating Minister of the Economy, Mr. Wale Edun, and the Minister of Budget and Economic Planning, Sen. Abubakar Bagudu, to clarify the Federal Government’s commitment to economic diversification, particularly through the solid minerals sector.

The Senate and House of Representatives Joint Committees on Solid Minerals raised concerns over the inadequate funding allocated to the Ministry of Solid Minerals in the proposed 2025 budget.
The ministers, along with the Director-General of the Budget Office of the Federation, Mr. Tanimu Yakubu, are expected to appear before the committees on Tuesday.
While summoning the ministers, the committee raised concerns over the paltry funding of the Ministry of Solid Minerals in the 2025 budget.

Edun, Bagudu are to appear before the committees on Tuesday in company with the Director-General of the Budget Office of the Federation, Mr Tanimu Yakubu.

The committees, jointly chaired by Sen. Ekong Samson and Hon Gaza Jonathan, after the Minister of Solid Minerals, Mr Dele Alake, appeared before lawmakers on Monday to express the frustrations he had faced fighting hard to increase the budgetary allocations to the ministry without success.

Alake told the lawmakers that all his efforts could only get the ministry an initial envelope of N5billion.

“In fact, to let you know, the envelope we first received was N5 billion. I don’t know if you are aware of that. It was N5 billion” ,he informed the members.

Alake disclosed that when he stepped up mounting pressure on the ministers and the DG budget after President Bola Tinubu presented the estimates to the National Assembly, he was reassured that the allocation would be increased substantially only to be just N9bn.

“The Permanent Secretary is here and the night before the president came here, when we were working on the rehearsal of the budget speech, the Director of Budget came in and the Minister of Budget
and I took them up in the presence of the President. And what did they do? They promised that it would be done. So, again the following day, after the President’s presentation, we found N9billion”, he stated.

Speaking further on the frustrations he faced, Alake said, “There is no way that I can begin to tell you, except I have videos that I can show you of the several engagements that we had with the relevant budgetary authorities and individuals driving this process and at every turn we received very positive responses.

“Now, distinguished Senators and Honourable Members, when we had received very positive responses from those who are saddled with the responsibility of putting our budgets together, what else could we have done? There was no way we would rig their hands, and I don’t have the authority to compute the figures myself.”

When asked why his close relationship with President Tinubu didn’t translate to getting improved funding for his plans for the solid minerals sector, Alake replied that not everything he discussed with the President could be made public

Alake defended the President, arguing that he was not to blame for the funding challenges the ministry and its plans had suffered.

According to him, Tinubu is passionate about diversifying the economy, the reason it’s a cornerstone of his reform agenda.

He spoke more, “Many members here have rightly noted that yes, my relationship with the President should be counted upon, I agree in-toto but there are several things that cannot be said in the open. I cannot be divulging the conversations I have had with the President on this issue in the open.

“I am a manager of information and I have done that for over 40 years and I know how delicate information is. So, I give information on the-need-to-know basis or in private. So in short, the President is not unaware of our strides in the solid minerals’ sector.

“Every minute I am with him, apart from other issues that we discuss, or the assignments that he gives to me, I draw tales of solid minerals and we discuss all ratifications.

“I want to also emphasise, or maybe remind, distinguished Senators and honourable members, that if the President were not in tune or in sync with our vision, the diversification of the economy away from oil would not be a critical part of his programme of Renewed Agenda. It wouldn’t be. He coined it, he carved it.

“So, I want us to understand the fact that it is not because the President has not been intimated of the need for upward review that we are having this situation, not at all and this is not to absolve the President of anything. I am just laying bare the facts.”

Members of the committee mostly expressed surprise that a government that was committed to diversifying the economy did not make adequate budgetary provisions for solid materials development, one of the most important sectors that it could use to rival earning from the oil and gas industry.

Making his observations, Sen. Sampson noted that in other climes, solid minerals development was the mainstay of their economies as exemplified by the huge annual funding provisions for the sector.

He spoke more, “We have seen how some economies are being managed.

“If we don’t invest in solid minerals, how do we diversify our economy?
We have to diversify and we must do it masterfully.

“So, those concerned (Edun, Bagudu, Yakubu) have to appear before the joint committees to give us clear insights on what they intend to do).

Also speaking, Hon. Jonathan told the session that Nigeria appeared unprepared for economic diversification, which he said must come with a robust plan and a budget to accomplish it.

The committees later postponed the budget defence of the ministry till Tuesday to hear from the invited ministers and the DG, budget office before taking any further decisions.

***Querry how economy is doing well without corresponding impact on common man.

Lawmakers have raised concerns about the Federal Government’s decision to peg inflation at 15% in the 2025 budget projections, describing it as overly ambitious given the current economic climate.

This follows the presentation by Finance Minister Wale Edun during a legislative session on the 2025 Appropriation Bill.

Edun, in his address, expressed optimism about Nigeria’s economic direction, highlighting a projected GDP growth rate of 3.5% and increased revenue from both the oil and non-oil sectors.
He had also indicated that the economy is having a positive leap.
However, senators wondered how the economy could be having a positive outlook without impacting the populace positively

They also questioned the feasibility of the inflation target, citing persistent challenges such as exchange rate instability, high interest rates, and rising food prices.
Senator Orji Uzor Kalu, leading the discussion, noted that while the Central Bank of Nigeria (CBN) has taken measures to combat inflation through monetary tightening, structural economic issues remain unresolved “Pegging inflation at 15% assumes a level of fiscal discipline and policy coordination that we are yet to see materialize. It’s not just about monetary policy; we need aggressive efforts on food security, energy stability, and industrial output,” Kalu remarked.

Senator Tokunbo Abiru from Lagos East added that the government’s reliance on an envelope budgeting system could further strain fiscal resources. “Inflation is not just a monetary phenomenon. If we are not addressing revenue leakages and inefficiencies in public spending, achieving this target will remain a mirage,” he said.

In response, Minister Edun defended the 15% inflation benchmark, explaining that it reflects the CBN’s confidence in its monetary policy framework and the government’s efforts to boost food production.
“Central Bank of Nigeria is indicating a 15 per cent inflation rate by the end of 2025, it is achievable, we are working hard towards it,we look forward to achieving it.
“And it is their signalling of where inflation is expected to lie that has given us this interest rate. However, we all have a role to play.
“Even if monetary policy helps to try to bring down inflation, however, on the fiscal side, it is important that we contribute to lower inflation, not just by really squeezing demand, but by increasing supply.
“Increasing supply of food is one of the major commitments that is already laid out, we are having a dry season harvest now, and we have mobilised 250,000 farmers to be able to produce 750,000 metric pounds of assorted grains from the dry season farming”.
Mr. Edun also said that under President Bola Tinubu, the country’s economy is growing positively as the budget deficit as percentage to Gross Domestic Product, GDP, is falling while debt service ratio as percentage to revenue is improving.
“After eighteen to twenty months, under the able and visionary leadership of President Bola Tinubu, we have been inspired as a nation to re-determination forbearance arrive st the situation where the economy is very much turning the corner, it is growing. The budget deficit as percentage to Gross Domestic Product, GDP, is falling while debt service ratio as percentage to revenue is improving”
Economic analysts are divided on the issue. While some see the government’s optimism as a sign of progress, others warn that external shocks, such as global oil price volatility and geopolitical tensions, could derail the inflation target.

Dr. Amina Yusuf, an economist at the University of Abuja, stated, “The government is relying heavily on projections without addressing the structural bottlenecks that fuel inflation. The focus should be on building domestic capacity, especially in agriculture and manufacturing.”

In his opening remarks, the Chairman Senate Committee on Finance, Senator Sani Musa urged Ministries, Departments and Agencies (MDAs) to present a budget that is realistic, implementable, focused and tailored towards attainment of measurable outcomes.
Senator Musa said the MDAs budget should have a clear purpose and translate to tangible benefits for the populace on implementation.
He said the it was the responsibility of the legislature to ensure efficient and transparent allocation of government resources to drive development and needs of the people, adding that ministry of finance plays a foundational role in shaping economic policies and fiscal strategies.

“The impact of this action will be released across all sectors, and as such, this budget must reflect prudence, accountability, and alignment with the priority of the people.
“We understand the challenges you face in balancing the demands of your mandate with available resources.
“However, as custodians of the public costs, it is our collective responsibility to ensure that everyone contributes meaningfully to our shared goals.

“This session is an opportunity for MDAs to address the challenges they face supported by clear data and justifiable expenditures, this process is not adversarial but collaborative as we all share the common goal of advancing the economic well-being of our country,”Musa said.

As the National Assembly scrutinizes the 2025 budget, lawmakers are expected to press for clearer strategies to ensure that inflation targets align with economic realities. For now, the debate underscored a growing tension between the government’s optimistic outlook and the scepticism of legislators tasked with holding it accountable.

The discussion continues as Nigeria navigates the complexities of rebuilding its economy in an increasingly challenging global environment.

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.