President Muhammadu Buhari has set a deadline for ministries to commence payment of government revenues to the approved government bank accounts. Officials who fail to comply with this directive by September 15 will face sanctions.
Last month, Buhari ordered all Federal government ministries, departments and agencies (MDAs) to pay all government revenues and incomes into a Treasury Single Account (TSA). However, the slow compliance of some ministries to this directive has influenced the president’s decision to set a deadline. It is also rumoured that the head of ministries who do not comply with the directives could face loss of appointment.
Ministries such as the Nigerian National Petroleum Corporation (NNPC), Federal Airport Authority of Nigeria (FAAN), Federal Mortgage Bank of Nigeria (FMBN), Nigerian Communications Commission (NCC), Nigeria Immigration Service (NIS), Nigerian Civil Aviation Authority (NCAA), as of mid-August, were struggling to comply with the new government accounting system.
The TSA policy is geared towards blocking revenue leakages in all ministries of government. Nigeria has lost billions in revenue due to leakages in various ministries of the federation. Buhari believes that over $150billion of government revenue has been lost in the past decade due to unaccountability and corruption in the ministries.
The TSA policy is also in line with the provisions in Section 80 and 162 of the Nigerian Constitution, which states that revenues must be paid in to the federation account, and that no one is expected to use funds without paying into this account. The policy has been in place for over four years even though the ministries have not fully implemented it.
The implementation of the policy started at a slow pace under former President Goodluck Jonathan and there were no strict sanctions for defaulters. However, Buhari is unlikely to falter on his orders to the ministries due to his quest to stabilise the staggering economy.
Buhari has emphasized zero tolerance for corruption since the beginning of his presidential campaign and his stand on transparency in government is evident through this mandate for MDAs.
