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Legit.ng journalist Ridwan Adeola Yusuf has over 9 years of experience covering elections, politics, public affairs and governance in Nigeria and Africa.
FCT, Abuja - Natasha Akpoti-Uduaghan, senator representing Kogi Central, on Tuesday, December 16, questioned the federal government's proposed plan to "mop up" funds to support the private sector.
The concern was raised during an interactive session on the 2026-2028 Fiscal Strategy Paper (FSP) and Medium-Term Expenditure Framework (MTEF).
The session, organised by the senate committee on finance at the national assembly complex, featured Wale Edun, minister of finance and coordinating minister of the economy, who presented the government's fiscal outlook and policy direction.
Reacting to the minister's presentation, Akpoti-Uduaghan described the explanation on the proposed private-sector funding as lacking clarity.
The senator asked the minister to clarify the source of the funds, citing public concerns over alleged heavy taxation.
Akpoti-Uduaghan also sought details on how the private sector would access the funds and the criteria that would apply.
She said:
"Speaking to the closing part of your presentation where you mentioned that the government is trying to mop up funds to support the private sector, I find that quite generic and bland.
"Kindly explain where these monies will be mopped from to support the private sector; is it from taxes, duties, levies, dormant accounts, and so much more, considering the fact that we have seen an outcry from the public with regards to heavy taxation?
"How exactly will the private sector access these funds? Will it be through banks and the heavy interest rates, or are they going to be grants? How do you select the beneficiaries from the private sector, and what are the criteria, terms, or conditions for these loans or grants?"
Responding, Edun acknowledged the senator's concerns and offered a broad explanation based on international development experiences.
The Cable quoted the minister as saying:
"The Koreas of this world, the Singapores of this world, and the Chinas, they did it by mobilising their own savings."
"When they produce, they don't consume everything; they put some back into productive savings."
He stated that discussions are ongoing to establish a voluntary national savings scheme involving the government, private sector and financial elites.
Meanwhile, the Senate projected the federal government's aggregate expenditure for the 2026 fiscal year at N54.46 trillion, The Nation reported.
This followed the passage of the 2026-2028 MTEF and FSP.
In the same vein, the Senate approved an oil benchmark of $64.85 per barrel, projected aggregate revenue of N34.33 trillion, a fiscal deficit of N20.13 trillion, borrowings of N17.88 trillion, debt service of N15.52 trillion, and pensions, gratuities, and retirees' benefits totalling N1.376 trillion.
The approval of the fiscal document followed the presentation and consideration of the report of the Senate committees on finance during plenary. The report was presented by the Chairman of the committee, Senator Mohammed Sani Musa.