Edun under fire at Senate over subsidy proceeds, debt servicing

Wale Edun, MlMinister of Finance and Coordinating Minister of the Economy, came under fire at the Senate on Thursday over over how much has been saved and spent since the removal of fuel subsidy mid-2023.

Edun appeared before the Senate for the defence of the 2025 budget and was also quizzed on how much
government was spending on debt servicing.

But in a dramatic move, the minister, who apparently had not anticipated those questions, hurriedly requested a closed-door session with the senators in order to provide answers.

The drama began after Edun led President Tinubu’s economic team to the Senate to defend the 2025 proposed budget and the performance of the 2024 budget, particularly the capital component.

Abdul Ningi, a Peoples Democratic Party (PDP) senator representing Bauchi Central Senatorial District, had asked the minister to explain how proceeds from fuel subsidy removal in the 2024 fiscal year was spent.

“What is the budget performance so far in the 2024 fiscal year, particularly in terms of the capital expenditure? We haven’t heard from the minister how much has been saved from the removal of fuel subsidy and how much has been expended.

“We also haven’t heard from the minister about the debt servicing. How much have we actually used to service our debts in 2004? How much are we expecting to service the debt in 2005?
“Finally, will the Minister of Finance guarantee that the extension of the capital component of the 2024 budget to June 30, 2025, will guarantee the desired results in terms of implementation that currently has a very low percentage?” Ningi asked.

But Edun who was obviously uncomfortable with providing the answers, especially before journalists, and pleaded with the senators to allow him to provide detailed answers to the questions behind closed doors.