Senate Raises Concerns Over Low Revenue Remittances

The Senate has expressed concerns over the low revenue remittances to the Federation Account for 2024, despite significant revenue generation by Ministries, Departments, Agencies (MDAs), and Government-Owned Enterprises (GOEs).

During an interactive session in Abuja, Senator Sani Musa, Chairman of the Joint Finance Committee of the Senate and House of Representatives, raised concerns over the widening gap between the revenues generated by various ministries, departments, agencies, and government-owned enterprises, and the actual amounts remitted to the federal treasury. He called this growing disparity a critical issue for Nigeria’s fiscal health, emphasizing the need for corrective measures to address the situation.

He says, “This trend undermines the government’s capacity to fund critical infrastructure and social services, raising concerns about inefficiency, mismanagement, and possible revenue leakages.”

Representatives from several key agencies attended the session, including the Nigeria Customs Service (NCS), Federal Road Safety Commission (FRSC), Joint Admissions and Matriculation Board (JAMB), Nigeria Immigration Service (NIS), Nigeria Communications Commission (NCC), and Fiscal Responsibility Commission (FRC).

Sani Musa identified inefficiencies, mismanagement, and revenue leakages as critical challenges. He stressed the committee’s role in ensuring transparency, accountability, and efficiency in MDAs’ financial operations and assured that the Senate would continue to examine revenue projections and remittance practices to identify gaps and offer practical solutions.

The senator urged the agencies to provide accurate data and thorough records during the session, emphasizing the importance of transparency for the benefit of Nigerians.

“Let us approach these tasks with a shared commitment to transparency. Accurate data and comprehensive records must be presented for the benefit of Nigerians. Even areas not yet presented should be laid bare to address these issues holistically,” Musa added.

The meeting focused on evaluating the revenue projections of MDAs for 2025, comes at a time when Nigeria faces significant economic challenges and a pressing need for enhanced fiscal responsibility. The discussions and recommendations from this session are anticipated to play a crucial role in shaping fiscal governance moving forward, promoting greater accountability within Nigeria’s public finance system in 2025 and beyond.