Bill to professionalise fiscal management passes second reading in Senate
Bill to professionalise fiscal management passes second reading in Senate
The Senate on Thursday passed for second reading a bill seeking to establish the Chartered Institute of Revenue and Fiscal Management of Nigeria, aimed at strengthening professionalism, transparency, and efficiency in the country’s public finance system.
The bill, sponsored by Adamu Aliero, proposes the creation of a statutory body to train, certify, and regulate practitioners in the revenue and fiscal management sector, a move the sponsor said was essential to improving government accountability and addressing systemic leakages.
Leading debate on the general principles of the bill, Aliero said Nigeria’s weak fiscal structures and rising debt-to-revenue ratio demanded urgent reform through professional oversight.
“As of 2024, our debt service-to-revenue ratio stood at 147 per cent. That figure alone underscores the need to professionalise revenue administration and fiscal management,” he said.
“This bill seeks to build capacity, reduce inefficiencies, and ensure that our public finance managers operate by the highest ethical and professional standards.”
He added that the institute would also serve as a policy think-tank to advise government on fiscal reforms, helping to modernise Nigeria’s revenue framework in line with global best practices.
Supporting the bill, Sani Musa described it as a “bold step toward professionalising fiscal governance,” noting that trained and regulated practitioners would improve the credibility of Nigeria’s revenue system.
“Our country cannot continue to operate a fiscal framework that lacks clear professional standards. This institute will help instil fiscal discipline and improve accountability,” Musa said.
Similarly, Senators Aminu Tambuwal and Tokunbo Abiru backed the bill, saying the new institute would complement the Senate’s oversight role by improving fiscal reporting, capacity building, and compliance monitoring across the public sector.
However, the proposal drew cautious reactions from some lawmakers who warned against duplication of existing functions.
Senator Binos Dauda Yaroe and several others argued that the Chartered Institute of Taxation of Nigeria (CITN) and other professional bodies already regulate aspects of revenue administration.
We should be careful not to create another institution that duplicates existing responsibilities and increases cost to government,” Yaroe cautioned.
Rather than establish a new body, we can strengthen existing ones through targeted amendments.”
Other senators also raised concerns about funding implications and the risk of institutional overlap, warning that without clear delineation of roles, the proposed institute could become redundant.
Responding to the concerns, Aliero assured that the bill’s objectives were distinct from those of existing professional bodies, focusing specifically on fiscal management and public finance oversight rather than tax practice.
He welcomed the call for public hearings, saying stakeholder input would be critical to refining the bill and aligning it with existing laws.
Deputy Senate President Barau Jibrin, who presided over the plenary, commended the sponsor and noted that while concerns about duplication were valid, they would be addressed at the committee stage.
“This is a timely and important initiative,” Barau said. “Our aim is not to duplicate functions but to strengthen fiscal governance. The committee must harmonise the proposed framework with existing institutions to ensure complementarity.”
The bill was thereafter referred to the Senate Committee on Establishment and Public Service Matters, in collaboration with the Committee on Finance, for further legislative work and public consultation.
If enacted, the Chartered Institute of Revenue and Fiscal Management of Nigeria will be empowered to conduct professional training and certification, regulate members’ conduct, advise the government on fiscal policy, and undertake research to improve efficiency in public financial management.
The legislation forms part of the Senate’s broader effort to reform Nigeria’s revenue system amid rising debt obligations and growing demand for accountability in public finance.
