SENATE APPROVES OYEDELE FOR MINISTERIAL POSITION AFTER LENGTHY GRILLING

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By: Balogun Ibrahim

The Senate on Wednesday confirmed Taiwo Oyedele as Minister of State for Finance after nearly three hours of questioning by senators from across party lines on economic and financial issues.

During the confirmation hearing, Oyedele presented a range of strategies aimed at stabilizing government revenues, improving contractor payments, and expanding Nigeria’s revenue base.

On managing the country’s dependence on crude oil, he proposed using forward sales to shield the economy from price volatility while ensuring predictable fuel prices for citizens.

“One strategy employed in several countries is selling crude forward. Nigeria can lock in a price for a portion of our crude over a set period,” Oyedele explained.

“That approach would ensure budget financing and provide Nigerians with stability, preventing the kind of price fluctuations we’ve seen recently,” Oyedele said.

On the ongoing issue of delayed contractor payments, he suggested awarding contracts based on available funds to avoid a “trust deficit premium,” where a project initially costing ₦1 billion could escalate to ₦2 billion due to government payment delays.

He also highlighted Nigeria’s untapped revenue potential beyond oil and taxation.

“For many years, our country has relied heavily on taxation and oil and gas, which has distracted us from other potential sources of revenue,” Oyedele said.

Focusing on the solid minerals sector, he added, “The biggest barrier to growth in this sector is policy uncertainty. The Minister of Solid Minerals and his team have made significant efforts, but we need to complement that with a stable policy environment. We may be approaching the National Assembly on this matter.”

Oyedele also emphasized the need for realistic budgeting and full execution of approved projects.

“When budgets are approved, we must ensure adequate funding and timely releases so that projects can be executed—ideally 100 percent—especially for capital expenditure.”

“Reviewing Nigeria’s budgets over the past five years, many have seemed overly ambitious relative to the revenue, with too much focus on expenditure and insufficient attention to revenue generation,” Oyedele added.

He further noted that nearly half of Nigeria’s budgets are currently financed through deficits.

“Currently, when combining federal and state budgets, nearly half are financed through deficits. We need to focus more on realistic revenue to drive our projects,” Oyedele said.

Outlining his immediate priorities if confirmed, he added: “If I am approved by this distinguished Senate, one of my first actions will be to create a clear status quo analysis. We need to know exactly what we owe contractors.

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“We should state: as of today, this is how much we owe, this is what we have, this is the gap, and this is our plan to raise the funds,” he explained.

On government spending and inflation, Oyedele noted, “If revenue increases because subsidies are removed, it is essentially a transfer from the people to the government. The only way to justify that sacrifice is to channel the funds into areas that matter most to the people.”

He also expressed confidence that targeted investments in infrastructure linking farms to markets could deliver quick economic benefits.

“These priorities can be as basic as roads connecting farms to warehouses, factories, and markets. When that happens, people experience the impact almost immediately,” he said.

After a nearly three-hour screening, the Senate confirmed Taiwo Oyedele as Minister of State for Finance.

Following the confirmation, Senate President Godswill Akpabio commended President Bola Tinubu for selecting “a round peg for a round hole.”

Akpabio also lauded Oyedele’s expertise and suitability for the ministerial role.