President directs payment of govt revenues into treasury single account



PRESIDENT Muhammadu Buhari has directed each Federal Government ministry, department and agency to start paying into a Treasury Single Account (TSA) all government revenues, incomes and other receipts to promote transparency and facilitate compliance with sections 80 and 162 of the 1999 Constitution.

A statement by the media aide to the Vice President, Laolu Akande, said all receipts due to the Federal Government or any of its agencies must be paid into the TSA or designated accounts maintained and operated in the Central Bank of Nigeria (CBN), except otherwise expressly approved.

The directive applies to fully funded organs of government, MDAs and foreign missions, as well as the partially funded ones, like teaching hospitals, medical centres and tertiary institutions, among others. Also affected are the CBN, Securities and Exchange Commission (SEC), Corporate Affairs Commission (CAC), Nigerian Ports Authority (NPA), Nigerian Communication Commission (NCC), Federal Airports Authority of Nigeria (FAAN) and Nigerian Civil Aviation Authorities (NCAA), Nigerian Maritime Administration and Safety Agency (NIMASA).

Others are National Deposit Insurance Corporation (NDIC), National Shippers’ Council, (NSC) Nigerian National Petroleum Corporation, (NNPC), Federal Inland Revenue Services (FIRS), Nigerian Customs Services (NCS), Ministry of Mining and Solid Minerals Development (MMSD) and Department of Petroleum Resources (DPR).

A TSA is a unified structure of government bank accounts enabling consolidation and optimal utilization of government cash resources. It is a bank account or a set of linked bank accounts through which the government transacts all its receipts and payments and gets a consolidated view of its cash position at any given time.

The statement believes that the presidential directive would end the previous public accounting situation of several fragmented accounts for government revenues, incomes and receipts, which, in the recent past, has meant loss or leakages of legitimate income meant for the federation account.

It would be recalled that Buhari promised state governors at the inaugural meeting of the National Economic Council (NEC) under his administration in June, that all revenues prescribed for lodgment into the federation account would be treated as such under his watch and that he will ensure strict compliance with all relevant laws on accounting, allocation and disbursement. Since then, the presidency has worked with relevant agencies of the Federal Government to evolve this policy directive.

“For any agency that is fully or partially self-funding, sub-accounts linked to TSA are to be maintained at CBN and the accounting system will be configured to allow them access to funds based on their approved budgetary provisions.”

Receive News Alerts on Whatsapp: +2348136370421

No comments yet