FG sets up committees to review revenue sharing formula

The Federal Government has constituted 12 committees to review the present revenue sharing formula of the federation as well as ways to expand the revenue base of the nation.

Chairman, Revenue Mobilisation Allocation and Fiscal Commission (RMAFC), Mr. Elias Mbas made the disclosure,  yesterday, in Abuja at the inauguration of chairmen and members of the Committees.

Under the current revenue sharing fomular, Federla Government gets 52.68 per cent, states 26.73 per cent and local councils 20.60 percent while 13 per cent goes to oil bearing communities.

Mbam said the committees became necessary following President Muhammadu Buhari’s directive that the RMAFC should focus on expanding the sources of revenue to the Federation Account.

Mbam said the president also tasked them to concentrate on increasing the non-oil revenue sources, especially solid minerals.

He urged the committee members to also look into promoting policies that would further strengthen the Commission’s ability to block revenue leakages from the Federation Account.

The 12 committees are the “Indices and Disbursement Committee, Federal Allocation Account Committee, Crude Oil Monitoring Committee, Inland Revenue Monitoring Committee and the Revenue Allocation Formula Committee.

Others are Customs Revenue Monitoring, Solid Minerals Monitoring, Remuneration and Monetisation, Fiscal Efficiency and Budget, Mobilisation and Diversification and Investment Committees.

RMAFC is constitutionally empowered to monitor the accruals to and disbursement of revenue from the Federation Account.

It is also saddled with the responsibility of reviewing from time to time, the revenue allocation formula to conform to changing realities.

The Commission also serves as adviser to the Federal, State and Local Governments on fiscal efficiency and methods by which their revenue could be increased.

They are also saddled with the responsibility of determining the appropriate salaries and benefits for all Political Office Holders in the country, including the President.

Leave a Reply

Your email address will not be published. Required fields are marked *

*

x

Check Also

Former Petroleum Minister, Tam David-West, dies at 83

Former Minister of Petroleum of Energy, Tam David-West is dead ...