Akume calls for fairness as FG begins work on new revenue formula

Tinubu Digital Campaign Network

George Akume, the Secretary to the Government of the Federation (SGF), on Monday urged the Revenue Mobilisation, Allocation and Fiscal Commission (RMAFC) to carry out comprehensive due diligence in the formulation of a workable and acceptable revenue allocation formula for the country.

George Akume, Secretary to the Government of the Federation (SGF)

Akume gave the charge while receiving in audience a delegation from the management of RMAFC led by Mohammed Shehu in Abuja.

TDCN gathered that the new move is aimed at producing an acceptable revenue allocation formula for the federal, state, and local governments.

Under the current revenue sharing arrangement, the federal government receives 52.68 per cent, states 26.72 per cent, and local governments 20.60 per cent, while 13 per cent derivation revenue goes to the oil-producing states.

The SGF expressed confidence that the new management of the Commission could deliver a revenue formula acceptable to all three tiers of government.

He also urged the Commission to stick to its mandate in developing a comprehensive formula, and assured them of his Office’s readiness to provide the necessary support to achieve the project.

Akume further advised the Commission to ensure that any proposed allocation makes provision for an irreducible minimum for some ministries, departments and agencies (MDAs), such as the Ministry of Defence, given its critical role in maintaining peace and defending the country’s territorial sovereignty.

In his response, Shehu, Chairman of the Commission, assured the SGF that work on a new revenue allocation formula is ongoing. He added that “the draft copy will soon be forwarded to your Office for input before being sent to the National Assembly for final approval.”