RMAFC Backs Supreme Court On Direct Payment Of Revenue Allocations To LGAs

The Revenue Mobilisation And Fiscal Commission, RMAFC says the current method of sharing revenue among the three tiers of government in Niger is obsolete. It should be reviewed immediately, the revenue agency said, urging the president to send a bill to that effect to the National Assembly.

The Commission made this known in a communique in Uyo Akwa Ibom at the end of a three-day retreat for its recently inaugurated staff and management. The communique was signed by the Commission’s chairman and Secretary, Mohammed Shehu and Joseph Nwaze.

According to the Commission, the current sharing formula has been in existence for more than 16 years, and requires immediately amendment.

Instructively, the commission said the amendment should also be done to enable LGAs get their share from the federation Account directly.

This can only be done if the Constitution is amended, the Revenue Agency said, adding that this will conform with last year’s Supreme Court decision which directed that LGAs must get their share from the Federation Accoun, instead of going through the state, through a joint Account set up by state government, which many insist

hsd been abused over the years.

“The constitution should also be amended to enable local government councils to receive payments directly from the federation account,” the commission said.

Recall that the Supreme Court had in a landmark judgment delivered on July 16, 2024 ruled that the 776 LGAs in the be paid their share of the revenue from the Federation Accoun directly  havng to go through the state government.

The judgment followed a suit filed by the Attorney general of the Federation and Minister of Justice, Lateef Fagbemi against the 36 State governments in the country, following allegation that funds belonging to LGAs have over the years being mismanaged my state governors.

The ruling has received applause from not a few Nigerians, but almost a year after the LGAs, the magazine learnt have yet to receive their revenue share directly from the Federation Account, contrary to the apex bank ruling.

Not a few have blamed the lack of the political will on the part of the federal government for the delay.