President Bola Tinubu has declined to assent to two bills recently passed by the National Assembly, citing concerns that certain provisions could undermine fiscal discipline, contradict existing laws, and set risky precedents for managing public finances.
The President’s letters were read by Senate President Godswill Akpabio during Tuesday’s plenary session.
The bills rejected are the Nigerian Institute of Transport Technology (Establishment) Bill, 2025, and the National Library Trust Fund (Establishment, etc.) Amendment Bill, 2025.
While recognizing the broad objectives of the bills, President Tinubu pointed out that several clauses conflict with federal fiscal and administrative policies.
Regarding the Transport Technology Bill, he criticized provisions introducing new levies, allowing borrowing without adequate regulation, and permitting the investment of public funds in securities.
He warned these measures could create opaque revenue streams and increase the risk of misuse.
Specifically, Tinubu highlighted Section 18(4a), which proposes funding the institute through “One per cent of the freight on every import and export.”
He noted that imposing such a levy without approval from the Federal Executive Council could burden trade and circumvent the national budgeting process.
He also opposed Section 20, which grants the institute authority to borrow up to ₦50 million without presidential consent, describing it as a loophole that could facilitate repeated borrowing just below the threshold to evade oversight.
Sections 21 and 23, which allow investment of government-appropriated funds, were deemed “fiscally dangerous” by the President.
“These provisions, if implemented, would weaken fiscal discipline and create opportunities for financial abuse. For these reasons, I withhold my assent to the bill,” Tinubu stated.
In a separate letter rejecting the National Library Trust Fund Amendment Bill, the President acknowledged the bill’s commendable intentions but noted that several sections conflicted with existing federal laws and policy frameworks.
He pointed out problematic areas including agency funding, taxation of national entities, staff remuneration, and tenure or age limits, describing them as potentially unsustainable and contrary to the public interest.
“For these reasons, I cannot grant presidential assent to the bill in its current form. I urge the Senate to revisit and address the identified concerns,” the letter read.
Following the reading of both letters, Senate President Akpabio praised President Tinubu’s thorough review of legislation and directed relevant committees to revisit and amend the bills accordingly.
“This shows the seriousness with which Mr. President scrutinizes every legislation we pass. It is now our duty to carefully resolve the issues he has raised,” Akpabio stated.
The Senate has since referred the Transport Technology Bill to the Committee of the Whole and the Library Trust Fund Amendment Bill to the Committees on Special Duties and Establishment and Public Service Matters for further examination.
