…Cites “Fundamental Defects” and Inconsistencies with Financial and Constitutional Provisions
By Orlin Milinov
President Bola Ahmed Tinubu has withheld assent to two bills recently passed by the National Assembly, citing what he described as fundamental defects and inconsistencies with existing financial and constitutional frameworks.
In a letter dated July 30, 2025, addressed to Senate President Godswill Akpabio and read during Tuesday’s plenary, the President explained that he declined to sign the Nigerian Institute of Transport Technology (Establishment) Bill, 2025 and the National Assembly Library Fund Bill due to clauses he said could undermine fiscal discipline and transparency.
According to the President, the proposed Nigerian Institute of Transport Technology Bill contained provisions that conflicted with extant laws and risked creating loopholes for financial mismanagement.
“Under Section 58(4) of the Constitution of the Federal Republic of Nigeria, 1999 (as amended), I hereby convey to the Senate my decision to decline assent to the Nigerian Institute of Transport Technology (Establishment) Bill, 2025,” the letter read in part.
Tinubu noted that Section 18(4a) of the bill proposed the allocation of one percent of all import and export levies to the institute — a clause he said was introduced without the consent of the Federal Executive Council. He warned that such duplication of funding sources could impose an unnecessary financial burden on the economy.
The President also expressed concern over Section 21(2), which empowers the institute to borrow funds or obtain overdrafts without presidential approval for amounts below ₦50 million. Tinubu said this provision could encourage repeated borrowing to evade executive scrutiny.
“In existing Acts, borrowing can only be done with presidential consent. The removal of this requirement has not been explained or justified,” he stated. “Leaving it unchecked could lead to serious financial abuse.”
He further highlighted contradictions in Sections 23 and 24(5), which permit the institute to invest surplus funds while also drawing from federal allocations — a practice inconsistent with public finance management principles.
“For these reasons, I cannot sign the bill into law and hereby return it to the National Assembly for reconsideration,” the President said.
In a separate correspondence, Tinubu also declined assent to the National Assembly Library Fund Bill, noting that its proposed funding mechanism would set an unsustainable fiscal precedent and contradict existing budgetary procedures.
Responding after the letter was read, Senate President Godswill Akpabio commended President Tinubu for his detailed observations, assuring that the relevant committees of the National Assembly would review the issues raised and make necessary adjustments.
Meanwhile, the President has assented to two other pieces of legislation — the Nigeria Police Force Training Institute (Establishment) Bill and the Nigeria Police Trust Fund (Establishment) Bill.
Legislative Context
Tinubu’s decision marks one of the few times he has publicly declined assent since assuming office in May 2023. Legislative observers note that the move underscores the administration’s emphasis on fiscal discipline and constitutional compliance in government funding frameworks.
Analysts say the development also reflects the President’s cautious approach to new agencies and institutions that could add pressure to the federal budget. Since the start of his tenure, Tinubu has urged lawmakers to align new bills with his administration’s economic reform agenda and avoid duplication of functions already covered by existing agencies.
The National Assembly is expected to deliberate on the returned bills in coming weeks and decide whether to amend them in line with the President’s recommendations or override his veto.
