The Revenue Mobilisation Allocation and Fiscal Commission (RMAFC) is working tirelessly to create an innovative revenue sharing system that can help the state and local governments to fulfil their constitutional mandate in an effective manner without jeopardizing the unity of a nation and macroeconomic balance.
This is what was revealed by the RMAFC chairman, Dr. Mohammed Bello Shehu, in a very interesting panel discussion entitled Recalibrating Nigeria Revenue Allocation Formula, held on Tuesday in Abuja.
Dr. Shehu confirmed that the commission was committed to come up with a new fair and data-based formula that truly captures the current economic and constitutional environment of Nigeria.
He pointed out that the existing formula that was adopted in 1992 could no longer reflect the fiscal commitment of Nigeria, demographic shifts, and governance dynamics.
Dr. Shehu puts it as, our ambition is to come up with a formula that would enable subnational units to fulfill their constitutional obligations without compromising the unity of the nation and macroeconomic integrity.
He urged those present to adopt a nationalist mind in their deliberations, on the importance of their input towards the direction of the country. In interacting with one another, as we do today, we must not move about as champions of conflicting interests; but as custodians of a mutual fate. The actions we will take will determine how governments can educate our young ones, treat our people and develop areas where we live, he said.
Dr. Shehu promised that the review process would ensure equity, balance, and national solidarity and called on all the delegates to put their own interests aside. He further exposed that with the latest changes to the RMAFC Act, the Commission has been given the mandate to work closely with the entities in the private sector, such as oil corporations, in ensuring and reclaiming the revenues due to the Federation. He highlighted the importance of revenue mobilisation and accountability besides allocation as the key to achieving sustainable progress.
The Minister of Budget and Economic Planning Senator Abubakar Atiku Bagudu commended the efforts of the Commission and agreed that the formula has to be recalibrated in order to create national stability.
As Senator Bagudu said, it is the vision of the Constitution that all the levels of government cooperate regarding the welfare and safety of people. Equity must place a starting point on the mobilisation of revenue rather than its allocation.
Similarly, Senator Yahaya Abdullahi, who is the Chairman of Senate Committee on National Planning and Economic Affairs, emphasized that there is need to have consensus so that the reform succeed.
Without political integrity and shared vision of the nation, no matter the brilliance of the ideas or technical solution, progress will not come easy, and that is what Senator Abdullahi warned, urging the stakeholders to create transparency and trust.
Hajiya Hadiza Bala Usman, who is the Special Advisor to the President on Policy Coordination, demanded a.
