Kemi Adeosun, Nigeria’s finance minister, has issued a new set of guidelines to compel federal government offices remit monies they generate, accompanying the stringent rules with the threat of sanctions to defaulters.
Under the new rules book, boards and agencies of government currently operating outside the budgetary controls are directed to strictly comply with the law by ensuring all revenues and 80 per cent of their operating surpluses are credited to the consolidated revenue fund.
The minister said henceforth revenues generated by all MDAs must be reported on a gross basis prior to any deductions.
She directed all self-funded federal agencies to limit their annual expenditures from their internally generated revenues, IGRs, to not more than 75 per cent of their total gross revenue, while fully funded agencies must remit all their IGR to the CRF.
To ensure continual monitoring, all MDAs funded through the annual budget must submit monthly Expenditure Transcripts and Revenue Returns, to the Office of the Accountant-General of the Federation (OAGF), while other agencies must prepare and submit quarterly management accounts, including Revenue Returns to the OAGF.
The minister reminded all MDAs that in line with Financial Regulations 107, the AGF shall carry out routine revenue monitoring and inspection visits to the MDAs to verify compliance with the new guidelines.
She vowed sanctions for any Accounting Officer/Chief Executive Officer of MDAs who defaults in remitting the revenues as appropriate.
“Renewal of the tenure of appointment of Accounting Officers/Chief Executive Officers shall be tied to their compliance with the content the new guidelines,” the minister said.