Senate
Senator Umeh Raises Concerns Over Debt Burden in 2025 Budget, Calls for Equitable Development
The senator representing Anambra Central Senatorial District, Victor Umeh, has expressed mixed feelings about President Bola Ahmed Tinubu’s 2025 budget.
While acknowledging its focus on critical sectors such as security, education, healthcare, and infrastructure, Umeh voiced strong reservations about the growing reliance on borrowed funds to finance government spending.
“I am personally excited by the budget’s ambition and the focus on key areas that will drive national growth. However, I must stress that the larger the size of our borrowing, the greater the burden of servicing the debt,” Umeh stated. He warned that excessive borrowing could lead to unsustainable debt servicing costs, undermining the country’s fiscal stability and limiting its ability to fund essential programs.
The senator’s remarks align with widespread concerns about Nigeria’s increasing debt burden, with debt servicing consuming a significant portion of the national budget. Umeh cautioned against allowing the country to fall into a cycle of borrowing and interest payments, which could choke critical investments in infrastructure and services.
“We must ensure that the revenue support is in place to implement this budget so we do not rely too heavily on borrowed funds,” Umeh added, urging the government to prioritize revenue generation to reduce dependence on loans.
In addition to fiscal concerns, Senator Umeh stressed the importance of equitable development across Nigeria’s six geopolitical zones.
He highlighted the need for fairness in the distribution of infrastructure projects and government programs to ensure that all regions benefit equally from federal investments.
“The infrastructure projects must be distributed fairly across all six geopolitical zones. We must develop Nigeria at an equal pace, and all parts of the country must be carried along in the spending and programs of the government,” Umeh stated. He pledged to advocate for any regions that might be overlooked when the full breakdown of the budget is presented.
Despite these concerns, Senator Umeh expressed optimism about the budget’s potential to drive growth and development. He emphasized the need for careful scrutiny and robust fiscal management to ensure that the ambitious spending plan does not lead to long-term economic challenges.
“The 2025 budget offers a hopeful vision for Nigeria’s future, but it must be approached with caution, particularly regarding the country’s reliance on debt,” Umeh concluded.
As debates on the budget unfold, Senator Umeh’s comments reflected a balance of optimism about the proposed investments and a call for fiscal responsibility and equitable development.
His focus on revenue generation and regional inclusivity highlighted key areas for lawmakers to address as they evaluate the budget.
Senate
Senator Natasha’s Push for Local Content Sparks Debate on Nigeria’s Economic Future
In a bold call for transformative change, Senator Natasha Akpoti-Uduaghan, Chairperson of the Senate Committee on Local Content, has urged the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) to enforce policies that put Nigerian companies at the forefront of the oil and gas industry.
Her remarks at a high-stakes meeting with the Senate Committee on Appropriation, the Nigerian National Petroleum Corporation (NNPC), and the NUPRC spotlighted the urgent need to address the marginalization of local firms in favor of international contractors.
Using Samsung Heavy Industries Nigeria as a case study, Senator Akpoti-Uduaghan pointed to the company’s $272 million investment in a world-class fabrication facility in Lagos and the training of over 500 Nigerians. Despite this, Samsung has secured only one project since 2013. “This is an unsustainable trend,” she declared. “Local companies like Samsung have the infrastructure and expertise to deliver. Prioritizing them will reduce costs, speed up projects, and create thousands of jobs for Nigerians.”
The senator’s critique sheds light on systemic issues in Nigeria’s oil sector. Decades of advocacy for local content have yielded minimal results, with International Oil Companies (IOCs) continuing to favor foreign firms over Nigerian businesses that have invested in capacity building.
Her call for a policy overhaul aims to bridge this gap. “The current approach sends the wrong message to foreign investors and stifles local innovation. It’s time we deliver on our promises and foster a more inclusive economy,” she asserted.
Responding to these concerns, NUPRC Chief Executive Gbenga Komolafe highlighted some progress, including an increase in Nigeria’s rig count and enhanced capital expenditure. However, Komolafe admitted that more deliberate actions are needed to make local content compliance an industry standard.
This renewed focus on local content comes as Nigeria faces soaring unemployment and the pressing need for economic diversification. Experts suggest that boosting local participation in the oil and gas sector could trigger a ripple effect, revitalizing industries such as manufacturing, logistics, and technology.
Advocates believe that prioritizing local firms could redefine Nigeria’s oil sector, transforming it from a revenue hub to a platform for inclusive growth. This approach aligns with the global shift toward leveraging domestic expertise to stimulate broader economic benefits.
Senator Natasha’s impassioned advocacy may mark a pivotal moment for Nigeria’s economic policy. Her vision challenges the nation to rethink its approach to natural resource management, emphasizing that the true wealth of the oil sector lies not just in revenues but in its capacity to empower local communities and industries.
As the debate continues, one thing is clear: the time to act is now. The future of Nigeria’s oil industry and by extension, its economy depends on bold, inclusive policies that prioritize homegrown talent and enterprise.
Senate
Senate Asks NWDC, SEDC Nominees to Uphold Trust, Integrity
The Senate has charged nominees for the Governing Boards of the North West Development Commission (NWDC) and South East Development Commission (SEDC) to justify the confidence reposed in them by President Bola Ahmed Tinubu and Nigerians.
The admonition was made during the screening session conducted on Monday by the Senate Ad-Hoc Committee on Regional Development Commissions, chaired by Senator Orji Uzor Kalu (APC, Abia-North).
Senators underscored the importance of ethical governance and development-focused leadership in the commissions, warning nominees against betraying public trust.
Prof. Abdullahi Shehu Ma’aji, who retained his position as Managing Director of the NWDC, led the commission’s 14 nominees. Other appointees included Alhaji Lawal Samai’la Abdullahi (Chairman), Dr. Yahaya Umar Namahe, Hon. Aminu Suleiman, and several others.
The SEDC’s 18-member board was led by Dr. Emeka Nworgu (Chairman) and Hon. Mark C. Okoye (Managing Director/CEO), supported by prominent figures such as Barr. Ugochukwu Agballah, Chief Hyacinth Ikpor, and Dr. Clifford Ogbede, among others.
Speaking during the session, Senator Babangida Hussaini reminded the nominees of their responsibility to Nigerians and the president.
“Candidly speaking, you must realize that the confidence of Nigerians and President Tinubu, who found you worthy of this appointment, rests on your shoulders. Justify this trust, work for Nigerians, and address the many challenges we face. Don’t let Nigeria or the president down,” he said.
Senator Orji Uzor Kalu reiterated the importance of prioritizing public interest and warned against unethical practices.
“You are the face of these organizations, and we will not tolerate anything that tarnishes the image of the commissions or brings disrepute to the president. Use allocated funds strictly for development projects, and don’t pay for jobs that aren’t done. The Senate will oversee your activities closely, and any misconduct will be reported to the president for appropriate action,” Kalu cautioned.
The committee highlighted the urgency of the nominees’ clearance due to the ongoing budget process. Kalu stressed the need for collaboration between the commissions and the National Assembly to ensure timely project execution and budget implementation.
“We are clearing you now because of the budget process. If you fail to act appropriately, your commissions may miss out on key developmental funding. Improve your relationship with the National Assembly to foster progress,” he added.
With no objections raised against their clearance, the nominees are expected to formally assume their roles soon. The Senate has assured Nigerians of its commitment to monitoring the activities of the commissions to ensure accountability and tangible development in the North West and South East regions.
Senate
Senate Panel on Army Condoles Nigerian Army Over Soldiers Killed in Borno
The Senate Committee on Army has expressed profound grief over the death of six gallant soldiers who lost their lives during a clash with ISWAP/Boko Haram insurgents in Sabon Gari, Damboa Local Government Area of Borno State on January 4, 2025.
In a statement issued by the Chairman of the Committee, Senator Abdulaziz Musa Yaradua, the Senate extended heartfelt condolences to the Nigerian Army and the families of the fallen heroes. “Their sacrifice for the peace and security of Nigeria will not be forgotten. These brave soldiers paid the ultimate price for the nation, and their legacy will continue to inspire generations,” Senator Yaradua said.
The Committee commended the military’s unwavering dedication to combating terrorism and restoring stability to affected regions. It called on the troops to remain steadfast in their mission despite the painful loss of their colleagues.
As the Nigerian Army prepares to mark Remembrance Day on January 15, the Committee assured the military of the Senate’s unwavering support and reiterated the nation’s commitment to honoring the sacrifices of its fallen heroes.
“The Senate Committee on Army stands in solidarity with the Nigerian Army during this challenging period and remains committed to supporting all efforts toward achieving lasting peace and security in the country,” the statement concluded.
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