MTEF: Natasha Akpoti queries FG’s plan to ‘mop up’ funds for private sector

Natasha Akpoti-Uduaghan, senator representing Kogi central, on Tuesday queried the federal government’s proposed plan to “mop up” funds to support the private sector during an interactive session on the 2026–2028 medium-term expenditure framework (MTEF) and fiscal strategy paper (FSP).

The session, organised by the senate committee on finance at the national assembly complex, featured Wale Edun, minister of finance and coordinating minister of the economy, who presented the government’s fiscal outlook and policy direction.

Reacting to the minister’s presentation, Akpoti-Uduaghan described the explanation on the proposed private-sector funding as lacking clarity.

The senator asked the minister to clarify the source of the funds, citing public concerns over heavy taxation.

Akpoti-Uduaghan also sought details on how the private sector would access the funds and the criteria that would apply.

“Speaking to the closing part of your presentation where you mentioned that the government is trying to mop up funds to support the private sector, I find that quite generic and bland,” she said.

“Kindly explain where these monies will be mopped from to support the private sector; is it from taxes, duties, levies, dormant accounts, and so much more, considering the fact that we have seen an outcry from the public with regards to heavy taxation?

“How exactly will the private sector access these funds? Will it be through banks and the heavy interest rates, or are they going to be grants?

“How do you select the beneficiaries from the private sector, and what are the criteria, terms, or conditions for these loans or grants?”

The lawmaker further asked whether the funds would be used to provide infrastructure and an enabling environment for entrepreneurs.

“Will these funds be used to provide the enabling environment and infrastructure necessary to support entrepreneurs, such as electricity, free internet access in public spaces, roads, and others?” she queried.

“Exactly what will these funds be used for, and how will the private sector access them?”

Responding, Edun acknowledged the senator’s concerns and offered a broad explanation based on international development experiences.

“The Koreas of this world, the Singapores of this world, and the Chinas, they did it by mobilising their own savings,” the minister said.

“When they produce, they don’t consume everything; they put some back into productive savings.”

He said discussions are ongoing to establish a voluntary national savings scheme involving the government, private sector and financial elites.

“It will be voluntary; it’s not taxation, it’s not compulsory; it’s giving people a chance to have unearned income at all levels,” he added.

“By that, we mobilise funds even at the grassroots level to complement development programmes that push resources down.”

On Wednesday, the senate passed the 2026–2028 MTEF and FSP, paving the way for President Bola Tinubu to present the 2026 appropriation bill estimated at N54.4 trillion.

Senate President Godswill Akpabio, however, stated that the document is not set in stone, noting that further reviews could be made when the budget is formally presented.