The National Assembly has directed the immediate withdrawal of all circulars previously issued regarding contract awards under the 2025 fiscal year, signaling a fresh start as preparations intensify for the rollout of the ₦23.9 trillion capital component of the 2025 budget.
The directive was issued on Thursday during a joint meeting between the Appropriations Committees of both chambers and members of President Bola Tinubu’s economic team. The capital spending plan, which lawmakers confirmed will stretch into 2026, is expected to serve as one of the most significant investment drives in recent years.
Present at the high-level session were the Minister of Finance and Coordinating Minister of the Economy, Wale Edun; Minister of Budget and Economic Planning, Senator Atiku Bagudu; Director-General of the Budget Office, Tanimu Yakubu; and the Accountant-General of the Federation, Shamsudeen Ogunjimi. The gathering was convened to review the performance of the 2024 budget and assess the strategy for implementing the ₦54.9 trillion 2025 budget.
Chairman of the House Committee on Appropriations, Abubakar Bichi, confirmed that the Ministry of Finance’s earlier directive preventing ministries, departments, and agencies (MDAs) from awarding contracts without an Authority to Incur Expenditure (AIE) will no longer stand. According to him, the decision was necessary to prevent bottlenecks and ensure a seamless transition into the 2025 fiscal year.
Bichi disclosed that the federal government will immediately begin implementing the 2025 budget, with an AIE to be issued within the next seven days. This move, he said, is aimed at guaranteeing that no delays affect project execution or the release of capital funds.
In addition, lawmakers extended the implementation of the 2024 budget until December 2025. This resolution, adopted by the joint committee chaired by Senator Adeola Olamilekan, ensures that ongoing projects funded under the 2024 fiscal cycle will not suffer abandonment or lack of funding due to overlapping budgetary timelines.
The National Assembly’s intervention underscores its growing role in shaping fiscal discipline and accountability, while also seeking to align the executive’s economic strategy with the legislative agenda for development.
What You Should Know
The National Assembly has moved to ensure the smooth start of the ₦23.9 trillion 2025 capital budget by canceling restrictive circulars on contract awards and approving an immediate rollout.
Lawmakers also extended the 2024 budget until December 2025 to prevent project delays, signaling a push for continuous funding and accelerated infrastructure growth.
