The National Assembly has approved an Executive Bill seeking to tax banks' windfall from foreign exchange business, passing it for a second reading. This bill, an amendment to the Finance Act of 2023, proposes a one-time tax to finance capital infrastructure, education, healthcare, and other welfare initiatives.
In addition, another Executive Bill to increase the 2024 Appropriation Act by N6.2 trillion also passed the second reading. Senate President Godswill Akpabio and Speaker Abbas Tajudeen read a letter from President Bola Tinubu during plenaries, requesting an increase in the 2024 budget to N34.9 trillion from the initial N28.7 trillion. The amendment allocates N3.2 trillion for infrastructure projects and N3 trillion for recurrent expenditure.
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The President emphasized the necessity of these amendments to support the Renewed Hope Infrastructure Projects and other critical infrastructure. He highlighted that the funding would come from the Federal Government's accrued funds and from a proposed windfall tax on banks' foreign exchange gains. The Senate and House suspended relevant rules to expedite the bills' readings and referred them to standing committees for further legislative action.
Senator Seriake Dickson raised concerns about passing the bills too hastily, suggesting a more cautious approach to avoid public backlash and ensure thorough consideration by experts and stakeholders. Despite differing opinions, the bills were read for the second time and forwarded to the appropriate committees, which are expected to report back within a week.
