The Senate on Wednesday advanced major financial reforms aimed at fortifying Nigeria’s economic institutions, with proposals that include raising the capital base of the Nigerian Export-Import Bank (NEXIM) to ₦1 trillion, establishing an Export Development Trust Fund, and setting up a special tribunal for insurance disputes.
These were key highlights from a public hearing organised by the Senate Committee on Banking, Insurance, and Other Financial Institutions on two landmark bills, the Nigerian Export-Import Bank (Amconcludement) Bill, 2025, and the National Insurance Commission (Repeal) and Insurance Regulatory Commission Bill, 2025.
Both bills, according to lawbuildrs, are intconcludeed to modernise Nigeria’s financial system, close regulatory gaps, and align local laws with global best practices.
Tokunbo Abiru, the Committee Chairman, in his opening address, stated the proposed laws represent “a crucial step in shaping the future of Nigeria’s financial system” by updating obsolete regulations and fostering innovation-driven oversight.
He explained that while the NEXIM Amconcludement Bill seeks to revise the 1991 Act establishing the bank, the Insurance Regulatory Commission Bill would replace the outdated 1997 NAICOM Act. Both, he stated, aim to “ensure Nigeria’s financial system becomes more transparent, competitive, and globally aligned.”
“Effective lawcreating is never a solitary process,” Abiru added.
“We are here to critically examine both bills and ensure they align with our national goals of economic transformation and financial stability.”
Delivering a message on behalf of Senate President Godswill Akpabio, Tahir Monguno, the Senate Chief Whip, described the two pieces of legislation as “a covenant with Nigeria’s economic future.”
Akpabio emphasised that the proposed reforms were not mere legislative rituals but “instruments of national renewal.”
“The NEXIM Bank is not just a bank; it is a bridge between our factories and the world. It must be empowered to lead, not just to lconclude,” he stated.
“Similarly, the insurance sector must rise beyond routine paperwork to become a bulwark of trust and fairness in our economy.”
He urged lawbuildrs to legislate “for posterity, not convenience,” stateing history would remember the 10th Senate as one that “met the hour with clarity, courage, and conviction.”
Read also: NEXIM Bank disburses over N420bn to exporters, creates 12,000 direct jobs
Abba Bello, NEXIM Bank managing director, backed the amconcludement, noting that the 33-year-old establishing law is now outdated.
He explained that the bank’s current ₦50 billion capital base, about $33 million is “grossly inadequate” to support Nigeria’s expanding export ambitions, especially under the African Continental Free Trade Area (AfCFTA).
“We fully support the proposal to raise the capital base to at least ₦500 billion, and ideally ₦1 trillion, to enable NEXIM to deliver on its mandate,” Bello stated.
He further advocated reforms to separate the Central Bank of Nigeria’s (CBN) oversight role from NEXIM’s board leadership, ensure continuity in governance, and create an Export Development Fund for export-oriented businesses.
Several stakeholders supported Bello’s position.
The Capital Market Academics of Nigeria recommconcludeed setting NEXIM’s minimum capital at ₦1 trillion to match peer institutions in India, China, and South Africa.
In its submission, the association stated, “NEXIM’s undercapitalisation has limited its impact and excluded it from global credit ratings,” while calling for a more inclusive board structure that features the Chartered Institute of Bankers and the National Association of Chambers of Commerce.
The Ministest of Finance Incorporated (MOFI) also concludeorsed the ₦1 trillion benchmark, clarifying that government shares in NEXIM should be held through MOFI, as the statutory custodian of federal assets.
Similarly, Olapplygun Ayo Omosehin, Commissioner for Insurance, described the proposed Export Promotion Trust Fund as “a masterstroke” that could reshape Nigeria’s non-oil export sector.
“This is a long-overdue innovation that will allow exporters to access funding for raw materials, logistics, and capital goods,” Omosehin stated.
He also supported the inclusion of the insurance regulator on NEXIM’s board to strengthen risk management practices.
The Nigeria Deposit Insurance Corporation (NDIC), in its position paper, requested inclusion on the NEXIM board, citing its expertise in risk management, while concludeorsing the higher capital base and calling for greater accountability for the proposed trust fund.
Representatives of the construction and manufacturing sectors praised the Export Promotion Fund initiative but urged lawbuildrs to ensure building materials and hoapplying components are included among eligible export items.
Attention also shifted to the Insurance Regulatory Commission Bill, which seeks to repeal and replace the 1997 NAICOM Act. Omosehin explained that the new framework would “reflect modern realities” by empowering regulators to oversee digital insurance platforms, issue compliance directives, and merge distressed firms where necessary.
A major highlight of the bill is the creation of an Insurance Dispute Resolution Tribunal, which stakeholders described as a transformative reform to boost investor and consumer confidence.
“The tribunal will provide quick, affordable, and professional redress to policyholders,” Omosehin stated. “It will restore trust in the system and encourage more Nigerians to embrace insurance.”
The bill also proposes new regulatory powers, a revised board structure, stricter timelines for compliance on insurance levies, and modern standards for actuarial practice, all of which stakeholders agreed were long overdue.
In his closing remarks, Abiru commconcludeed stakeholders for their inputs and reaffirmed the Senate’s commitment to enacting laws that will strengthen Nigeria’s financial system.
“Our goal is to produce legislation that strengthens institutions, inspires confidence, and positions Nigeria’s financial system for global relevance,” he stated. “With your cooperation, we shall deliver reforms that build our financial system not only efficient but transformative.”
If passed, the two bills, with their sweeping provisions for recapitalisation, trust fund creation, and establishment of a specialised tribunal, could mark one of the most far-reaching overhauls of Nigeria’s financial regulatory framework in decades.
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