FG Begins Review Of Revenue Allocation Formula

 

FG Begins Review Of Revenue Allocation Formula
Revenue Mobilisation Allocation and Fiscal Commission (RMAFC) has said all is set to fully commence the review of the nation’s revenue allocation formula.
RMAFC said the process would be completed within this year, but failed to give a specific date for the completion.

The review, the commission noted, is targeted at equitable distribution of the accrued revenue into the federation account to the three tiers of government, which will be concluded before the end of this year.

Chairman of the commission, Elias Mbam, made the disclosure recently in Abuja while receiving members of the National Assembly Service Commission led by Ahmed Khadi Amshi who paid him a courtesy visit to his office.

The commission in a statement quoted Mbam as saying RMAFC which is one of the 14 executive bodies contained in the 1999 Constitution (as amended) is saddled with the statutory function of reviewing from time to time the revenue allocation formula and principles in operation to ensure conformity with changing realities alongside monitoring appropriate revenue accruals to the federation account by the revenue-generating agencies.

The RMAFC chairman further hinted that the review of remuneration for political and judicial office holders will equally take off as soon as the federal government releases funds for it.

He explained that the RAF review is currently concentrating on the vertical formula which has to do with sharing of revenue between federal, state and local governments.

This, according to him, will be followed by a horizontal formula which also has to do with sharing among states and local governments.

Thanking the RMAFC boss for hosting him and his team, he pledged the collaboration of the National Assembly Commission in the area of manpower development considering the fact that RMAFC has the same organizational structure as the National Assembly.

Ahmed Khadi Amshi thanked RMAFC for boosting the nation’s revenue generation and its equitable distribution to the three tiers of government.