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Minority caucus, House clash over tax law probe

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A standoff has emerged between the House of Representatives and its Minority Caucus over an ad hoc committee investigating alleged alterations to Nigeria’s tax laws.

The Chairman of the Minority Caucus ad hoc committee, Afam Ogene, warned on Sunday that dismissing the committee’s interim report would embolden impunity and undermine the National Assembly.

The remarks came after House deputy spokesperson Philip Agbese reportedly described the report as “overtaken by events” following the release of Certified True Copies of the affected tax laws.

In a statement issued in Abuja, Ogene said: “While I might ordinarily have ignored the remarks as a personal opinion, Agbese’s position as a principal officer of the House imposes higher responsibilities. Such offices carry the burden of safeguarding the integrity of the legislature and democratic processes.”

He added, “I am therefore perplexed as to why he has assumed the role of spokesperson for the executive in this matter.”

Ogene, who represents Ogbaru Federal Constituency in Anambra State, emphasised that the minority caucus committee’s report did not indict the National Assembly or question its legislative authority. Rather, it highlighted “the concerning attempt by perpetrators of the illegal alterations to undermine the legislature’s functional integrity and independence.”

He questioned claims that the matter had been resolved, noting that a separate bipartisan committee, chaired by Muktar Betara, continues to review the tax acts.

“If, as Agbese claims, the alleged alterations have been overtaken by events following the release of Certified True Copies, why is the Betara committee still sitting and has not been dissolved by the House?” Ogene asked.

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The lawmaker warned that ignoring such procedural anomalies could weaken democratic institutions.

“Speaking in the manner that Agbese has spoken will only enable unacceptable behaviour that ought to attract the collective upbraid of all lawmakers, irrespective of partisan divide. Democratic institutions are strengthened when accountability is upheld, not when official malfeasance is overlooked,” he said.

Ogene expressed confidence in Speaker Abbas Tajudeen’s leadership, adding: “I trust that the Speaker will continue to defend the independence of the legislature and ensure that public interest prevails over political expediency.”

But in response, House spokesman Akin Rotimi described the Minority Caucus’ move as “procedurally flawed and lacking institutional authority.”

“The House recognises the legitimate role of the minority caucus within parliamentary democracy and affirms its right to express dissenting opinions, engage in policy advocacy, and raise public concerns,” Rotimi said. “However, it is necessary to distinguish clearly between political activities and the formal parliamentary processes of the House.”

He stressed that the Standing Orders of the House (Eleventh Edition) vest the power to constitute ad hoc committees solely in the House acting in plenary or in the Speaker exercising powers conferred under the Standing Orders.

“No political caucus, whether majority or minority, possesses the procedural authority to establish a committee that carries the status of a parliamentary body,” Rotimi added.

Rotimi explained that caucuses serve only as platforms for consultation and coordination and do not have investigative authority, oversight jurisdiction, or the power to summon individuals or demand official documents. “Any action taken by a caucus in this regard is non-binding, informal, and without legal or institutional consequence,” he said.

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He also highlighted that the Betara-led bipartisan committee, appointed in December 2025 to examine multiple purported copies of the tax legislation, remains active.

“That committee was constituted by the House in line with the Standing Orders. It continues to discharge its assignment, and upon conclusion, it will lay its report before the House in plenary,” Rotimi said.

The spokesman noted that the National Assembly has published the official Gazette and issued Certified True Copies of the enacted tax laws, formally disowning any unofficial documents. He warned that the parallel caucus-led committee “only serves to compound public misunderstanding on an issue that has been institutionally resolved and overtaken by events.”

“For the avoidance of doubt, only committees constituted by the House in plenary or by the Speaker have parliamentary authority,” Rotimi said. “Members of the public should regard any committee or report not authorised by the House as a political initiative rather than an official action of the Green Chamber.”

The clash underscores growing tensions over legislative oversight and the need to maintain procedural integrity while responding to allegations of malpractice within the tax legislation process. Analysts say the dispute highlights the delicate balance between political advocacy by minority lawmakers and formal parliamentary authority in Nigeria’s National Assembly.

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Nigerian states’ revenues rise 93%, but education spending drops — World Bank

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The World Bank says Nigeria’s 36 states recorded a 93 per cent increase in revenues between 2023 and 2025 but education received a declining share of the sector’s expenditure.

The bank disclosed this in its latest Nigeria Development Update, which examined how increased public revenues have influenced spending priorities across the federation.

The report was made available to the News Agency of Nigeria by the World Bank in Washington D.C.

According to the report, states’ aggregate revenues rose by approximately 93 per cent in real terms, while expenditure increased by 92 per cent during the period.

The report attributed the improvement partly to exchange-rate reforms, petrol subsidy removal, stronger revenue administration and increased allocations from the federation account.

It said states also benefited from refunds, settlement of longstanding federal obligations, intervention funds, and stronger Value Added Tax collections.

However, education’s share of total state expenditure declined from 14.9 per cent in 2021 to 12.1 per cent in 2025, according to the report.

Health expenditure remained broadly stable at approximately seven per cent, while social protection’s share increased from 1.4 per cent to 4.4 per cent.

The bank said capital expenditure increased significantly, accounting for 61 per cent of state spending, compared with 46 per cent previously.

Transport infrastructure recorded the largest increase, alongside substantial spending on housing, agriculture and other economic investments.

The report quoted Mathew Verghis, the World Bank Country Director for Nigeria, as saying that increased revenues provided the opportunity to improve infrastructure, education, healthcare, and water services.

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He said greater spending efficiency, accountability and improved service delivery were essential to ensuring that additional public resources benefited Nigerians.

The bank acknowledged improvements in states’ fiscal reporting, transparency and internally generated revenue.

It, however, stressed that stronger investment in human capital was necessary to translate economic reforms into sustainable employment and improved living standards.

The report also projected average economic growth of 4.4 per cent between 2026 and 2028, subject to sustained reforms and improved service delivery.

It urged federal and state authorities to ensure that increased public revenues translated into tangible improvements in Nigerians’ welfare.

NAN

Source: punchng.com

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Nigeria promotes investment without building production capacity – UNILAG don

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A professor of Comparative Political Economy at the University of Lagos, Adelaja Odukoya, has asserted that Nigeria’s economic policies promote investment without sufficiently strengthening domestic production.

Odukoya argued that the contradiction had weakened the country’s productive foundations, with policies encouraging investment and entrepreneurship while failing to create the technological capacity, productive employment and processing industries needed to drive sustainable development.

Odukoya spoke at the maiden edition of the Adeleke University Toyin Falola Annual Lecture, held on Thursday at the Performing Arts Theatre, Adeleke University, Ede.

The lecture had as its theme, “History, Power and Accumulation: Reimagining Africa in the Globally Disorderly Order.”

Odukoya identified several contradictions in the way the Nigerian state manages economic activity.

He said, “The state promotes investment without creating conditions for technological transfer. It encourages entrepreneurship without generating sufficient productive employment.

“It expands primary-product exports while leaving processing capacity undeveloped. It constructs infrastructure without establishing strong linkages with domestic production.”

According to him, the contradictions explain why increased economic activity and accumulation do not necessarily translate into development.

“Accumulation is not synonymous with development,” Odukoya stated.

He argued that genuine development should be measured by the expansion of productive, technological, institutional and human capabilities.

“A country could attract investment, export minerals and agricultural commodities and record economic activity while still failing to build the domestic industries and technological capabilities required for long-term development,” he said.

His argument was echoed by Prof Toyin Falola, who said Africa’s vast natural resources would continue to reinforce dependency unless governments developed the industrial, technological and institutional capacity to transform them into productive power.

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Falola said Africa’s resource problem was not simply one of historical exploitation, but also the continent’s failure to convert its resource endowments into power.

“The issue, however, is not just to repeat the history of exploitation. It is more important to know how Africa turns its great resources into power,” Falola said.

He argued that Africa could not afford to remain a spectator as global economic and geopolitical arrangements continued to change, stressing that resource ownership without the capacity to add value would not guarantee influence.

Falola said the continent required a combination of knowledge, government policy and industrial capacity to change its economic position.

“There must be universities that generate new knowledge; there must be governments that translate this knowledge into policies; there must be industries that add value to the continent’s natural resources,” he said.

He added that Africa needed more than improved infrastructure and stronger economies if it wanted to exercise greater influence in the global system.

“The future of the continent will require more than just better infrastructure, improved economies, and more effective political institutions,” Falola said.

Source: punchng.com

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Import waivers, insecurity end two-year agric trade surplus

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Import waivers meant to ease hunger and insecurity on farms have led to a deficit, ending a two-year run of surpluses, as Nigeria’s agricultural trade balance swung from a N740.27bn surplus in the first half of 2025 to a N56.13bn deficit in H1 2026, according to agriculture and trade experts.

Recent foreign trade data from the National Bureau of Statistics showed that agricultural exports fell by 33.28 per cent, or N985.14bn, to N1.98tn in H1 2026 from N2.96tn in H1 2025.

Agricultural imports fell by only 8.50 per cent, or N188.74bn, to N2.03tn from N2.22tn over the same period. The gap between the two movements produced a N796.40bn swing in the trade balance.

Nigeria recorded a N365.74bn deficit in H1 2023, when imports of N926.25bn far exceeded exports of N560.51bn. The balance then turned to a N194.92bn surplus in H1 2024 before it widened to N740.27bn in H1 2025.

In separate phone interviews with The PUNCH, Agribusiness experts, including the Chairman of the Lagos Chamber of Commerce and Industry’s Agricultural and Allied Group, Tunde Banjoko, explained that recent government policy led to the shift.

Banjoko said, “Some waivers were given for products like palm oil and rice, and the import tariffs were drastically reduced. It became more favourable for people to import than to patronise local producers.”

He said the waivers on food commodities hurt domestic producers, even though lower tariffs on tractors and manufacturing equipment helped them.

According to Banjoko, “The effect is that our imports will rise above our exports. Second, we will discourage local production. Thirdly, we will be reducing employment, because some factories will shut down if they are not able to compete.”

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Banjoko also said weak funding for processors compounds the problem. He said foreign direct investment flows mainly into the capital market rather than into production and processing, so local processors cannot scale.

He urged the Federal Government to speed up the Special Agro-Industrial Processing Zones programme. “We should speed up such projects where we can produce enough for our country and start exporting, not look for shortcuts by reducing prices,” Banjoko added.

Meanwhile, the Chief Executive Officer of the Centre for the Promotion of Private Enterprise, Dr Muda Yusuf, identified two major factors behind the deficit. He said the first was the Federal Government’s decision to allow some food imports to tackle runaway inflation.

Yusuf said, “The first is the decision of the government to allow for some food imports as a result of the challenges of food inflation, which at a point was getting almost completely out of hand.”

He added that insecurity worsened the supply gap and cut export capacity, stating, “Insecurity led many farmers to leave their farms. Many of them have ended up in IDP camps, and quite a number have completely abandoned farming.”

He added that farmers cannot export without output. Yusuf said, “You can only export when you have the output.”

Yusuf also said high input costs and falling produce prices have discouraged farming. He said, “Most of these inputs are imported, so the exchange rate situation has seriously affected the cost of inputs, and the prices of produce have gone down.”

He urged the Federal Government to cut the cost of fertiliser, agrochemicals, machinery and improved seedlings. He also called for a minimum guaranteed price for agricultural produce.

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Yusuf said, “The government can establish a threshold below which, if prices fall, it will give farmers some compensation. That is the way it is done in many other economies.”

Source: punchng.com

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