FG tells TSA success stories, records N5.24trn through policy

The Accountant General of the Federation, Ali Ahmed Idris, on Tuesday in Abuja, described the implementation of the Treasury Single Account (TSA) as one of the success stories in the management of public finances.

According to him, the government through it has recorded N5.24 trillion.

According to Idris, beginning from September 2015 when the TSA policy implementation started, more than 20,000 accounts with Deposit Money Banks belonging to Ministries, Departments and Agencies have been closed, while a total of N5.24 trillion has been moved into the TSA

Idris, made this disclosure when he spoke at the opening session of a two day retreat on TSA, with the theme, “One year anniversary of Treasury Single Account: Benefits, challenges and way forward.”

In attendance at the event were Acting President Yemi Osinbajo, the Minister of Finance, Mrs Kemi Adeosun and the Secretary to the Government of the Federation, Mr Babachir Lawal among other government officials.

Sharing some of the success stories of the policy, Idris explained that through TSA, government has been able to block leakages and abuse, which prior to the policy implementation, were the undoing of public sectors.

Aside blocking leakages, TSA initiative according to Idris, has also helped government in overcoming the burden of unnecessary borrowings by MDAs, which has saved government from incurring huge bank charges arising from the borrowings.

He said government was before the implementation of TSA, incurring not less than N4.7 billion monthly on bank charges.

“The TSA journey started way back in April 2012. That journey could not see the light of the day as no significant gains were recorded largely due to the lack of political will.

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“However, the issuance of TSA circular in August, 2015, coupled with the political will and enforcement, enabled us to achieve considerable progress on the TSA implementation. As at the 10th of February, 2017, the total inflow of funds through the mop-up and direct debits by the Central Bank of Nigeria amounted to N5.24 trillion.

“We have successfully eliminated multiple banking arrangements, resulting into consolidation of over 20,000 bank accounts, which were spread over Deposit Money Banks across the country. This has further brought about transparency and effective tracking of government revenues,” Idris said.

TSA policy unifies all government accounts and makes sure that all monies belonging to the Federal Government are saved with the Central Bank of Nigeria.

Since it took off in September 2015, it has reportedly recorded a compliance of over 900 government agencies.

However, its implementation has also come with several job losses in banks due to decline in deposits.

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