Senate proposes 20% funding for NSIA from Federation Account

The Senate, on Wednesday, passed for second reading, a bill seeking to amend the Allocation of Revenue (Federal Account, etc) Act, 2004.

The bill, sponsored by Senator Bassey Albert Akpan (PDP, Akwa Ibom), aims to include the Nigeria Sovereign Investment Authority (NSIA) in the first line charge beneficiaries of the monthly distributable funds from the Federation Account.

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It proposes 20% of the amount standing to the credit of the Federation Account to be allocated to NSIA on monthly basis.

The lawmaker, in his lead debate, said the proposed amendment as contained in the Bill is to develop a constitutional and consistent monthly saving culture for the country against the rainy day while guarding against constitutional breaches and conflict of laws.

Akpan told his colleagues that there was the need for a dedicated saving culture to safeguard the Nigerian economy amid the rapidly changing dynamics and volatility of the global oil market.

“Let us learn our lessons now with the outcome of the Covid-19 pandemic because none of us knows tomorrow,” he added.

The Senate President Ahmad Lawan referred the bill, after passing second reading, to the Senate Committee on National Planning for further legislative work.