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DSS Urges Ban On Foreign Funding For Security Operations, Backs Trust Fund Bill

The Department of State Services (DSS) has urged the House of Representatives to amend existing laws to prohibit foreign funding for security operations in Nigeria.

The Service also supported a bill to establish a Trust Fund for the DSS, while calling for clearer funding mechanisms and changes to the proposed governing board’s composition.

Presenting its position at a public hearing organised by the House Committee on National Security and Intelligence in Abuja, the DSS cautioned that a separate bill to establish a Strategic Intelligence Management Institute could duplicate the functions of an existing institution unless its mandate is limited to external intelligence.

The hearing considered three bills, including the Bill for an Act to Establish the Department of State Services Security Trust Fund (HB.2178) and the Bill for an Act to Establish the Strategic Intelligence Management Institute (HB.2589).

On the proposed DSS Trust Fund, the Service described the bill as an important step toward strengthening national security financing. It said the Trust Fund is intended to provide dedicated and sustainable funding for intelligence gathering, counterterrorism operations and other national security activities, facilitating the acquisition of modern equipment, improving training, enabling faster responses to emerging threats and reducing delays associated with conventional budgetary processes.

“The Bill for an Act to establish the Department of State Services Trust Fund proposes the creation of a dedicated DSS Security Trust Fund aimed at ensuring stable and flexible financing for intelligence gathering, counterterrorism efforts and broader national security operations,” the Service said.

“The Fund is designed to facilitate the acquisition of modern operational equipment, enhance training, and enable swift responses to emerging security challenges, while minimising delays often associated with conventional budgetary procedures and safeguarding the confidentiality required for sensitive activities.

“It is further intended to guarantee the availability of prompt funding during emergencies such as terrorism incidents, civil unrest and other crises.”

While supporting the bill’s objectives, the DSS proposed several amendments. It suggested shortening the bill’s title by removing the word “Security,” and requested consequential changes to Sections 17 and 18 and to the explanatory memorandum to reflect the new title.

On funding, the Service expressed concern about provisions that give the National Assembly discretion to determine annual contributions to the Fund, saying this could create uncertainty.

It argued that the bill does not clearly define contributions expected from the federal and state governments and recommended a fixed percentage or a clearly defined funding formula to provide greater certainty, while allowing the National Assembly to review allocations through legislative amendments.

The DSS strongly opposed allowing international organisations to contribute to the Trust Fund. It argued that foreign funding could expose sensitive intelligence operations to external influence and compromise national security, noting potential reporting and disclosure obligations that might reveal intelligence methods, procurement processes and deployment strategies.

The Service warned that foreign contributions could introduce external influence over domestic security priorities that may not align with Nigeria’s security realities, including insurgency, banditry and kidnapping.

Consequently, it proposed that Section 3 be amended to permit grants, donations and endowments only from local organisations.The Service also sought revisions to the proposed governing board’s composition.

It observed that the draft lacks mandatory legal expertise and questioned the inclusion of the Nigerian Governors’ Forum, describing it as a voluntary association without statutory backing.

The DSS proposed that state representation should not be tied to the forum and recommended that the Nigerian Bar Association. ( NBA) nominate a representative with expertise in national security and human rights. It further suggested that the board secretary be appointed by the President and be a serving or retired officer not below the rank of Assistant Director who is also a legal practitioner with at least 10 years post-call experience.

“The bill represents a significant and commendable effort to strengthen the operational capacity of the Service through sustainable funding mechanisms. It is, therefore, in the best interest of national security that the bill be passed into law,” the DSS said.

Regarding the Strategic Intelligence Management Institute bill, the DSS warned that the proposal substantially overlaps with the National Institute for Security Studies, established under the National Institute for Security Studies (Establishment) Act, 2019.

The Service said both institutions would perform largely identical functions by providing strategic and specialised training for intelligence and security personnel as well as public officials.

It recommended that the proposed institute be tailored to complement existing legal frameworks and focus on external intelligence in line with the National Intelligence Agency’s mandate under the National Security Agencies Act.Hon. Ahmed Satomi, chairman of the House Committee on National Security and Intelligence, described the three bills as complementary measures intended to strengthen the DSS’s operational capacity through sustainable funding, professional intelligence training and indigenous research and technological development.

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