Tinubu withholds assent to transport institute, library trust fund bills over ‘fundamental defects’

President Bola Tinubu has declined assent to two bills recently passed by the national assembly.

The affected bills are the Nigerian Institute of Transport Technology Establishment Bill 2025 and the National Library Trust Fund Establishment (Amendment) Bill 2025.

The president communicated his decision in two separate letters addressed to Senate President Godswill Akpabio and read at plenary on Tuesday.

In the letter concerning the Nigerian Institute of Transport Technology Bill, Tinubu said the proposed legislation was “tainted with fundamental defects”.

“I convey to the senate my decision to decline assent to the Nigerian Institute of Transport Technology Bill 2025,” the president’s letter reads.

“The rationale for my decision is that the bill is tainted with fundamental defects.

“Section 18 of the bill expands the source of funding the National Transport Logistics Research to include one per cent of freight on every import and export from Nigeria without approval.

“In addition, the bill is tainted by the federal executive council, and more so when the institute is to be funded by the federal government itself.”

The president faulted section 21(2) of the bill, which empowers the institute to borrow through loans or overdrafts without presidential consent, except for amounts above N50 million.

“In the extant act, borrowing can be made with the approval of the president. The removal of the president’s approval has not been explained or justified,” he said.

“The provision could be abused, and such incidents could amount to serious financial violations.”

Tinubu also queried section 23(4), which allows the institute to invest surplus funds.

He said the provision is inconsistent with the institute’s funding structure, noting that government-funded agencies typically do not generate surpluses.

“The issue of investing surplus funds is usually applicable to agencies that are not funded by the federal government but generate revenue to spend,” he said.

“In addition, section 21 states that it is the surplus fund of the institute that should be invested, while section 23 states that any of the institute’s funds could be invested.

“This can allow funds other than surpluses to be diverted for investment purposes from their original objectives.”

On the National Library Trust Fund (Establishment) Amendment Bill 2025, Tinubu cited ambiguity and contradictions with existing laws and policies.

He said the bill conflicted with government policies on funding of public agencies, taxation, remuneration, and tenure limits for public servants.

The president warned that assenting to the bill in its current form could “create an unsustainable precedent against public interest”.

Akpabio thanked the president for his “diligence” in reviewing the bills forwarded by the legislature.

“This is very impressive because it means that the executive took time to go through the bills,” Akpabio said.

“We will do justice to all the observations in the bills.”