The total revenue yet to be remitted by Ministries, Departments and Agencies (MDAs) to the Consolidated Revenue Funds of the Nigerian government currently stands at N1.2 trillion, the Fiscal Responsibility Commission (FRC) said on Monday.
The FRC is the parastatal responsible for mobilising funds from government-owned organisations via the payment of operating surplus to finance government’s budget.
Victor Muruako, the FRC’s Acting Chairman, speaking at a three-day management retreat for the commission’s staff in Abuja said the outstanding sum could be utilised in funding this year’s budget.
According to him, strict adherence to the Fiscal Responsibility Act 2007 might help prevent borrowings by government.
“Today, our records still show that most of the 122 agencies of government are in default of more than N1.2 trillion which can fund a substantial portion of the Federal Government of Nigeria budget deficit if remitted in line with FRA 2007.
“These sums are calculated from already submitted end of year audited accounts of the defaulting agencies, which means the monies can be traced and recovered,” he said.
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Muruako noted that nearly all government organisations generate revenue one way or the other but added that they also spend money on essential items, while government continues to seek loans to fund its budget.
“Notably, from the initial 31 corporations in the Schedule of the FRA 2007, another 92 has been added by the Ministry of Finance as recommended by the commission.
“This action has made it possible for the commission to have caused these GOEs (government owned establishments) to pay in over N1.7 trillion to the Consolidated Revenue Funds.
“This was from payment of operating surplus by government owned organisations with far less than N5.8 billion government investment in the commission comprising overhead, capital expenditure and personnel for the past 11 years of the commission’s existence.”
He observed that the funds were hitherto spent without tracing by the agencies through unorthodox accounting systems and all manners of financial manipulations.
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