About four years ago, Senator Mukhail Adetokunbo Abiru got the mandate to represent Lagos East District in the Red Chamber of the National Assembly. In 2023, he was re-elected based on his impressive performance. Deputy Editor EMMANUEL OLADESU examines his legislative activities and what other politicians can learn from him.
Lagos East Senatorial District did not expect less from him. Four years after, he has also not disappointed the constituents. There is no gap between expectation and reality. In law making, oversight functions and ploughing back to his vast district, he has lived up to the promise.
Mukhail Adetokunbo Abiru, Chairman of the Senate Committee on Banking, Insurance and Other Financial Institutions, is not among the bench warmers, but a serious technocrat in politics bubbling with innovative ideas and determination to make a difference in public office.
He came into the Senate with a bundle of experience. A Fellow of the Institute of Chartered Accountants, he was a successful managing director of a thriving bank. He had also served as Commissioner for Finance in Lagos State, leaving a legacy of hardwork, integrity and honour.
The senator, who sponsored the Nigerian Insurance Industry Reform Bill recently assented to by President Bola Tinubu, was on the Television Continental to shed light on the intended impact of the landmark legislation. Among others, the law is designed to strengthen Nigeria’s financial sector and accelerate its march toward a $1 trillion economy.
As the Chairman of the Southern Senators Forum, the Lagos East senator has been a uniting factor in the Upper Chamber who has erected a bridge of understanding among senators from the six geo-political zones.
In the politics of the Nigerian heterogenous society, northern and southern voices can rise in defence of sectional interests, depending on the potentially divisive issues at state. But, as cosmopolitan figures, members of the Forum have maintained a critical balance without imparing the essense of national unity.
Abiru is not an Abuja politician who has forgotten home. In Lagos, constituents can point to many visible achievements, particularly in the areas of education, technological development, sports, social welfare, support for indigent families and succour for small scale businessmen, women and youths.
He was adequately prepared for leadership in any human setting. “I came into office about four years ago, in 2021, and I have approached my responsibilities through three major pillars: legislation, empowerment, and community development. In addition, I introduced a fourth pillar based on my professional background in financial services, which is innovation and technology,” he said.
The legislative pillar is very fundamental. Abiru had worked on laws and motions that directly impact lives. For instance, he championed the Copyright Act in the Ninth Senate, which protects intellectual property and supports the creative industry. He also sponsored motions to address infrastructure challenges in his vast constituency. These include the rehabilitation of the Lagos–Ikorodu and Ikorodu–Epe roads. “Today, the travel time on some of those routes has significantly reduced, improving convenience for commuters, though full rehabilitation is still ongoing,” he said.
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Naturally, constituents expect their elected leaders to assist in solving some problems relating to general welfare. Thus, Abiru’s empowerment programmes cover education, healthcare and socio-economic activities. His stewardship in these areas, according to the constituents, are highly commendable.
Abiru itemised his various interventions, which reflected his milk of human kindness. “In education, I have facilitated the building of about 20 new primary and secondary schools across the district. In healthcare, I have supported the establishment of four 40-bed primary health centres — including one at C-wing, Ikorodu North, and Mascara, as well as facilities at Lagos State University of Science and Technology and a dental centre in Ikorodu,” he said.
In the area of sports and socio-economic development, he has also built mini-stadia to harness youth talent. For example, there is a 960-capacity stadium in Ijede, another 500-capacity in Igbogbo, and others in different parts of the district. He also modernised the popular Oluwo Fish Market in Ikorodu, improving facilities for traders and the local economy.
“In addition, I run a food distribution programme twice a year to support vulnerable families. Each cycle reaches about 10,000 households, helping to cushion economic hardship,” Abiru added.
The senator’s fourth pillar is innovation and technology. He said he is particularly passionate about this. Together with his wife, Surat Feyisola, he established the Sail Innovation Lab in Ikorodu in 2022, “fully funded from our personal resources.”
It is a state-of-the-art centre with 24/7 internet, reliable power supply, and a dedicated faculty managed by Co-Creation Hub (CcHub), a globally recognised technology organisation. The centre provides free six-month training programmes in digital skills, innovation, and entrepreneurship. So far, about 1,900 young people have been trained, with thousands more to benefit.
Abiru said because of its impact, corporate partners like MTN have come on board, training over 4,000 teachers nationwide through the Lab. Also, a similar STEM Lab has also been established in his alma mater, Government College, Ikorodu, to introduce secondary school students to science, technology, engineering, and mathematics early. “We are now completing another facility in Ibeju-Lekki, which will accommodate up to 500 young people per cycle,” he said.
The beat cannot stop. As the Senate resumed for plenary, Abiru is busy again. He listed the areas of priorities.
“There are a couple of priorities on my desk. The first is strengthening the Nigerian Export-Import Bank (NEXIM) to make it more efficient and impactful. This institution is key to supporting exporters and driving non-oil revenue for the country, and we want to ensure its operations truly benefit Nigerians.
“Secondly, I have sponsored a motion to investigate Ponzi schemes, which have destroyed the savings and livelihoods of many vulnerable Nigerians.
“Too many citizens have fallen victim to fraudulent investment platforms. This investigation will help us design safeguards and regulatory checks to protect people from exploitation. Both are urgent matters, and we intend to move quickly once the Senate reconvenes,” he said.
Many Nigerians, particularly armchair critics, hardly appreciate the work of the Senate, what goes into the passage of bills and the factors considered by legislative leaders.
Abiru explained that every bill, policy, or motion in the Senate is carefully thought through, adding that from his own experience as the Chair the Committee on Banking, Insurance, and Other Financial Institutions with about 41 members, no single senator acts alone.
“Before any bill is even presented for first reading, it goes through internal committee consultations and rigorous debates. After the second reading, there is always a public hearing, where we invite stakeholders, civil society, industry players, and ordinary citizens to give input.
“For instance, when we begin the investigative hearing on Ponzi schemes, formal invitations will be sent to stakeholders, including media and public representatives, because transparency and participation are critical,” he stressed.
Abiru explained the primary motivation behind sponsoring the Nigerian Insurance Industry Reform Bill. He said: “First, I must acknowledge President Bola Ahmed Tinubu for assenting to the bill, as well as the leadership of the Senate, my committee members, and the House of Representatives for their support.
“Being a private member’s bill, it required concurrence from both chambers before becoming law. The main motivation was to complement the broader economic reforms of President Tinubu’s administration. We have seen efforts to recapitalize key institutions like the Bank of Agriculture and the Bank of Industry, and it was only right that the insurance sector be part of these reforms.
“More importantly, most of the laws governing insurance in Nigeria were outdated and obsolete. For example, the Motor Vehicle Insurance Act dated back to 1945, while other key laws like the Insurance Act, the NICON Act, and the Marine Insurance Act were more than 20 years old.
“These legislations no longer reflected today’s realities or addressed contemporary issues. This reform was therefore, necessary to overhaul and modernise the entire legal framework of the insurance industry, making it more effective, relevant, and aligned with Nigeria’s current economic aspirations.”
But, what are the benefits to Nigerians, in simple terms? Abiru pointed out that “one of the major things the law has done is to simplify and consolidate all previous fragmented legislations into a single, clear framework governing the entire insurance sector.”
He said this makes the system more effective and efficient, adding that the law also ensures that claims are paid when due and strengthens the regulator, similar to how the Central Bank oversees commercial banks. Consequently, this would bring more vibrancy and accountability to the insurance industry.
“Most importantly, the law introduces an Insurance Protection Fund, which never existed before. This fund safeguards policyholders in cases where an insurance company becomes insolvent, ensuring that ordinary Nigerians do not lose out,” Abiru stressed.
Another key provision of the law is that capital requirements are now risk-based. This means there is a minimum threshold, but as the risk profile of a business grows, the capital requirement also increases. The senator said as the devaluation of the naira has affected almost everything—including the cost of premiums—the value of assets like cars has also gone up. He also said since insurance premiums are tied to asset value, companies must adjust their capital base to ensure they can adequately cover policyholders.
“If you insure your car based on its old, historical value, in the event of a loss, you would only be compensated at that outdated rate. But by linking premiums and capital requirements to current values, the law ensures that you are fully protected and receive fair compensation,” he said.
Since many people distrust insurance due to delayed claims, how will this law ensure faster payouts when needed?
Abiru said: “Another important aspect of the law is that it strengthens the powers of the regulator, NAICOM. This includes addressing cases of default by setting clear penalties and ensuring that claims are settled within a specified period.”
He added: “In situations where an insurance company becomes insolvent, the Insurance Protection Fund is in place to compensate policyholders. These measures serve as circuit breakers to protect Nigerians and build confidence in the sector.
“The law also makes provision for a Road Accident Compulsory Fund. This ensures that victims of road accidents—including those caused by hit-and-run drivers or uninsured vehicles—can still receive compensation.
Indisputably, many Nigerians see insurance as only for the rich. How will this law make it accessible to the middle class and poor?
Abiru said one of the key strengths of the Act is that it was structured to cater to every category of people in society.
He noted that some have argued that the new law prescribes high capital requirements, but he also pointed out that these are risk-based. The senator said the requirements are tied to the level of risk and type of business being undertaken.
“Importantly, the Act also empowers the National Insurance Commission (NAICOM) to issue guidelines and oversee sector operations. For example, it makes provisions for microinsurance institutions and also recognizes takaful (Islamic insurance).
“Both of these are designed to extend insurance coverage to micro, small, and medium enterprises (MSMEs) and people at the grassroots. In essence, no matter your level, whether individual, small business, or large corporation, this law ensures that you are covered,” he added.
As chairman of the Senate Committee on Banking, Insurance, and Other Financial Institutions, what key reforms or oversight initiatives have Abiru led that directly impact daily lives?
Again, the senator alluded to the insurance reform. Apart from this, he disclosed that his committee is currently analysing the NDIC Reform Bill. “You may have seen some of the debates about the Nigeria Deposit Insurance Corporation (NDIC) on social media, that law is outdated and is now being addressed. We are also pushing a bill on Factoring Assignments and Receivables, which is designed to improve access to credit for micro, small, and medium enterprises (MSMEs).
“This is crucial because MSMEs are the backbone of our economy, and they need more financing options to thrive. Another major bill in progress is the reform of the Nigerian Export-Import Bank (NEXIM). The law guiding NEXIM dates back to 1991, making it obsolete and inadequate for today’s economic realities. “As of now, the bill has passed both the first and second readings, and once we resume from recess, it will move to the public hearing stage. To put this in perspective, Nigeria cannot aspire to be a trillion-dollar economy while neglecting its export sector. For example, NEXIM’s capital requirement is still pegged at N50 billion, the same figure set in 1991. That amount is grossly insufficient for an institution meant to drive export growth in today’s economy.
“Through these reforms, NDIC, MSME financing, and NEXIM, we are complementing President Tinubu’s Renewed Hope Agenda and creating stronger support systems for Nigerian businesses,” Abiru stressed.
Many Nigerians want government to make insurance accessible and affordable for rural Nigerians? To Abiru, this is possible.
He said micro-insurance, including products like Takaful, are specifically designed to serve small businesses and people in rural areas. He explained that these are part of the strategies to ensure inclusion and protection for communities that are often left behind.
Yet, another key aspect is the new law, which is structured as a redistribution model for the insurance sector. In the opinion of Abiru, this means rethinking the entire value chain to allow innovations like electronic payments and electronic claims processing.
He said by bringing financial technology (fintech) companies into the fold, “we can extend insurance services to the most remote areas.”
Abiru said technology is therefore a major tool for bridging the gap and reaching more Nigerians.
He added: Beyond that, the government is laying the groundwork to expand access through infrastructure. For example, part of the administration’s current agenda is to deploy over 90,000 kilometres of fibre optic cables across the country.
“This will provide fast internet access and expand telecom towers into remote areas. With stronger digital connectivity, farmers, health workers, and small businesses in rural communities will be able to access affordable insurance products seamlessly.
“In addition, new initiatives like the protection funds are being set up. A good example is the Road Accident Emergency Fund, financed through insurance premiums. This pool provides compensation and support for critical responders such as the police and the Federal Road Safety Corps. Such mechanisms not only protect Nigerians but also build confidence in the insurance system.
“Taken together, these measures, micro-insurance, fintech integration, digital infrastructure expansion, and protection funds, are all aimed at making insurance more affordable, more accessible, and more trusted for every Nigerian, including those in rural areas.”
