Senate begins overhaul of MOFI Act to improve public asset management

The Nigerian Senate has begun the process of repealing and re-enacting the Ministry of Finance Incorporated (MOFI) Act in a bid to modernize and improve the management of the country’s public assets.

The proposed legislation, titled the Ministry of Finance Incorporated Act (Repeal and Re-enactment) Bill, 2025 (SB. 843), is sponsored by Senator Sani Musa, who represents Niger East and chairs the Senate Committee on Finance. The bill passed its second reading during Tuesday’s plenary session.

MOFI, originally established under the 1959 Act, is the statutory body tasked with managing the federal government’s equity investments in various enterprises. The current law grants MOFI authority to acquire property, enter into contracts, and manage assets on behalf of the government.

Senator Musa said the bill aims to reposition MOFI as a commercially-driven and performance-focused institution, aligning it with global best practices for sovereign asset management.

“The bill is intended to reposition MOFI as a key vehicle for national economic transformation,” he said. “It will help ensure that public investments deliver long-term value and support Nigeria’s development goals.”

According to the Senate’s order paper, the proposed law seeks to clearly define MOFI’s role as the central public investment and asset management agency. It also aims to strengthen governance, enhance transparency, and adopt private-sector investment principles.

Key provisions include the modernization of institutional frameworks, improved oversight of government-owned enterprises, and stronger accountability mechanisms.

Senator Musa described the initiative as a “crucial step toward building a stronger, more accountable system for managing Nigeria’s public assets.”