From Victor Gai, Jalingo
Taraba state governor, Darius Ishaku has advocated immediate upward review of the current revenue allocation formula to cushion the pangs of financial burdens of the states and local government areas in the country.
He made the assertion during a two-day review meeting on revenue allocation formula with the Revenue Mobilization Allocation and Fiscal Commission (RMAFC) in Jalingo, the State capital.
In his keynote address, Governor Ishaku, represented by his deputy, Engr Haruna Manu, stated that the upward review of the revenue allocation formula has become imperative because it has been long overdue, since the last exercise was carried out during the military rule in 1992.
The governor further frowned at the current situation where the federal government has continued to enjoy the lion share of 52%, leaving the 36 states and the 774 local government areas with a paltry 48% to share.
He said, “in the past decades, the transformations witnessed in the country have increasingly shifted the burden of governance in the face of insufficient and dwindling revenue allocation from the Federation Account; this has over the years affected the effective performance of state and local government administrations in Nigeria.
“In the light of this uneven and inequitable revenue sharing formula, I wish to State that the revenue sharing formula is unfavourable to the second and third tiers of government, since it cannot keep up with our rising obligations, necessitating an immediate review of the formula.”
Furthermore, the governor enjoined Tarabans, particularly the stakeholders, to participate fully in the review process by submitting position papers and engaging in meaningful dialogues to improve fiscal efficiency at the subnational level.
On his part, the Speaker of the State House of Assembly, Rt. Hon. Joseph Albasu Kunini, strongly argued that revenue allocation formula has been one of the fundamental decision rules in allocating resources in the public sector worldwide, hence Nigeria should not be an exception.
According to him, the main reasons for revenue allocation in the country was to promote national unity and rapid economic growth, but he regretted that despite the continuous increase in revenue generation in the country, the expected impact on the citizenry has not been realized and felt, due to the revenue allocation problems.
He further faulted the current revenue allocation formula among the three tiers of government, just as he averred that the current clamour and advocacy going on within the public domain has to do with the dire need for upward review of the revenue allocation formula among the federal, state and local governments in the country.
Against this backdrop, he stressed that upward review of the revenue allocation formula in the country would chart a new order to match up with other developed countries of the world.
“The current revenue allocation formula, adopted, maintained and used by the federal government of Nigeria be reviewed to enable each tier of government be funded based on the functions it performs.
“By doing so, each tier will perform the expenditure functions within its jurisdictions for exercising full autonomy as a federal component.
“That in the spirit of full autonomy for the principles of true federalism to be in operations, states and local governments in Nigeria should be given a higher percentage.
“This is because both the states and local governments are discovered to be the tiers of government that are closer to the citizens, in terms of the basic needs needed by the citizens, since majority of Nigerians live in rural areas where social amenities are in short supply,” the Speaker explained.
He then proposed a new revenue sharing formula in tandem with the current economic realties and burdens of governance as follows: federal government – 40.20%, state governments – 34.20%, and local governments – 25.60% (totally 100%).
The Speaker also advocated that the current 13% derivation being enjoyed by the oil producing states be reduced to 10%, since the 3% has now been captured in the Petroleum Industry Act signed by President Muhammadu Buhari, recently.
Earlier, in his opening speech, the Chairman of the Commission, Engr Elias N. Nbam, represented by a Federal Commissioner representing Taraba State, Engr Ahmed Yusuf, stated that the Commission was carrying out its constitutional functions as contained in Part I, Paragraph 32 of the 1999 Constitution of the Federal Republic of Nigeria (as Amended) which has empowered it, “to review from time to time the Revenue Allocation Formula and Principles in operation to ensure conformity with changing realities, provided that any Revenue Formula which had been accepted by an Act of the National Assembly shall remain in force for a period of not less than five (5) years from the date of commencement of the Act.”
He, therefore, stressed that the sensitization exercise was designed to enlist the interests of the stakeholders, through interactions at various levels in order to get informed and make useful inputs that could provide workable template to assist the Commission in its task of evolving and bequeathing to the Nation a fair, just and equitable new revenue sharing formula.
CBN Set to Empower Tertiary Students, Releases Guidelines
By Tony Obiechina, Abuja
The Central Bank of Nigeria (CBN), has released the guidelines for the implementation of the Tertiary Institutions Entrepreneurship Scheme (TIES).
The framework, according to the apex bank, was in pursuant to the CBN Act, 2007 and in line with its policy measures to address rising youth unemployment and underemployment.
The CBN stated that the scheme was in partnership with Nigerian polytechnics and universities to harness the potential of graduate entrepreneurs (gradpreneurs) in Nigeria.
It said in the guideline that the scheme is designed to create a paradigm shift among undergraduates and graduates from the pursuit of white-collar jobs to a culture of entrepreneurship development for economic development and job creation.
The initiative, the apex bank stated, aims to provide an innovative financing model that will create jobs, enhance the entrepreneurial ecosystem and support economic growth and development.
TIES has been designed to enhance access to finance by undergraduates and graduates of polytechnics and universities in Nigeria with innovative entrepreneurial and technological ideas.
The guidelines listed activities to be covered under the scheme to include innovative start-ups and existing businesses owned by graduates of Nigerian polytechnics and universities in agribusiness – production, processing, storage and logistics; Information technology – application/software development, business process outsourcing, robotics, data management; and entertainment.
Others are artwork, publishing, culinary/event management, fashion, photography, beauty/cosmetics; and Science and technology – medical innovation, robotics, ticketing systems, traffic systems, renewable energy, as well as, waste management.
The document stated that there would be two classes of participants, with tier 1 receiving N5m with a tenor of five years at five percent interests, (nine per cent ) as from March 2022 and moratorium of 12 months.
It said that Tier 2 candidates could receive as much as N25m under similar terms, adding that the CBN interest payment and principal repayment shall be made on monthly or quarterly basis by the obligor depending on the established cash flow cycle and in line with the approved repayment schedule.
It said that under the scheme five top Nigerian polytechnics and universities with the best entrepreneurial pitches/ideas shall be awarded grants, with the best receiving N150m, while from second to fifth, the grants would be N120m, N100m, N80m and N50m, respectively.
NGX Opens Week with N153bn Loss on MTNN, Nestle loses
Trading in the domestic bourse resumed for the week on Monday with bearish sentiments due to profit taking in bellwether stocks – MTNN and Nestle.
Specifically, the market capitalisation lost N153 billion or 0.
Also, the All-Share Index dipped 293.48 points or 0.71 per cent to close at 41,144.67 against 41,438.15 posted on Friday.
Accordingly, the month-to-date and year-to-date return settled at 2.3 per cent and 2.2 per cent, respectively.
The market negative performance was driven by price depreciation in large and medium capitalised stocks which are; Nestle, MTN Nigeria Communications (MTNN), FBN Holdings (FBNH), May and Baker and NPF Microfinance Bank.
Consequently, the market breadth closed negative with 21 losers as against 19 gainers.
May and Baker led the losers’ chart in percentage terms by 8.02 per cent to close at N4.36 per share.
Royal Exchange followed with 7.81 per cent to close at 59k, while NPF Microfinance Bank shed 7.57 per cent to close at N1.71 per share.
FBNH declined by 7.48 per cent to close at N11.75, while Mutual Benefits Assurance shed 6.67 per cent to close at 28 kobo per share.
Conversely, the Nigerian Exchange Group dominated the gainers’ chart in percentage terms with 9.86 per cent to close at N19.50 per share.
Ikeja Hotel followed with 9.52 per cent to close at N1.15, while Custodian Investment rose 7.53 per cent to close at N7.85 per share.
Honeywell Flour Mills up by 6.48 per cent to close at N3.78, while Chams appreciated by 4.55 per cent to close at 23k per share.
In the same vein, the total volume of shares traded dipped by 53.53 per cent with an exchange of 338.72 million shares valued at N4.06 billion exchanged in 5,866 deals.
This was in contrast with a total of 728.96 million shares worth N8.53 billion traded in 4,852 deals on Friday.
Transactions in the shares of FBNH topped the activity chart with 67.615 million shares valued at N832.79 million.
Access Bank followed with 36.62 million shares worth N351.21 million, while Transcorp traded 26.55 million shares valued at N26.62 million.
Guaranty Trust Holding Company (GTCO) traded 25.56 million shares worth N755.25 million, while Fidelity Bank transacted 19.47 million shares worth N53.25 million. (NAN)
165 Persons Benefit from Taiwo Afolabi Free Medical Outreach
Over 165 traders at the popular Gbagi market in Ibadan, Oyo State, have enjoyed free dental and medical care at the community health outreach sponsored by SIFAX Group.
Taiwo Afolabi Community Dental Outreach, which is organised by the University of Ibadan Association of Dental Students, is a free medical mission targeted at rural communities in Oyo State.
Mr Olumuyiwa Akande, Head, Corporate Communications, SIFAX Group, disclosed this in a statement on Monday in Lagos.
Akande who represented the company at the event noted that the beneficiaries were majorly traders at the market.
He noted that some of the services enjoyed by the beneficiaries were body mass index test, blood pressure test, blood sugar test and blood pressure test, among others.
“There was also a health talk on the imperative of maintaining good oral health.
“Medical personnel deployed for the event included doctors, medical and dental students from the University College Hospital, Ibadan.
“The sponsorship of the programme is part of the humanitarian initiatives of the company designed to provide succour and support for indigent Nigerians.
“This is in line with the company’s belief that a healthy citizenry translates to a productive nation,” he said.
Mr Olalekan Efunkunle, President, University of Ibadan Dental Students Association, said the aim of the outreach was to create an oral health awareness and promotion of good oral health hygiene in the society.
Efunkunle commended the SIFAX Group for the support noting that the outreach helped in extending medical care to rural persons.
He added that the outreach equipped the students with adequate field knowledge needed for them to excel in dentistry.
Efunkunle enjoined other corporate organisations to emulate the company by partnering the association to take the rural health mission to other communities. (NAN)
Japan’s Ex-Justice Minister Accepts 3-Years Prison Term Over Vote Buying
Share Post Views: 10 A three-year prison term over vote buying for former Japanese Justice Minister, Katsuyuki Kawai, was finalised...
REOPENED – Court Fixes Nov. 10 to Hear Nnamdi Kanu’s Application, Challenging Competence of FG’s Charge
Share Post Views: 23 A Federal High Court, Abuja has fixed Nov. 10 for hearing the application of leader of...
Agribusiness: Kebbi Govt. Disburses N126.7m Grant to 8 Cooperatives
Share Post Views: 32 The Kebbi Government in collaboration with the United States African Development Foundation (USADF), have disbursed N126.7...
NYSC Extends 10 Corps Members’ Service Year, Remobilises 2 in Plateau
Share Post Views: 31 The National Youth Service Corps (NYSC) in Plateau has extended the service year of 10 corps...
Alleged Gang-Rape: Absence of Witness Stalls Defence of Late Chief Lanre Razak’s Son
Share Post Views: 20 The absence of a defence witness on Tuesday stalled the defence of Segun Razak the son...
Tight Security in Federal High Court Ahead of Nnamdi Kanu’s Trial
Share Post Views: 46 There is tight security at the Federal High Court Abuja as the court sets to continue...
2022 Access Bank Lagos City Marathon Holds Feb. 12
Share Post Views: 23 By Orkula Shaagee, Abuja The Access Bank Lagos City Marathon will join other elite races across...
Kanu Steers Falcons to 2-0 Lead Over Black Queens
Share Post Views: 33 By Orkula Shaagee, Abuja Nigeria’s Super Falcons took a 2-0 lead over Ghana’s Black Queens in...
Everton Striker Calvert-Lewin Suffers Injury Setback
Share Post Views: 30 Everton striker Dominic Calvert-Lewin has suffered a setback in his recovery from a quadriceps injury and...
Benzema Absent as Sex Tape Blackmail Trial Begins
Share Post Views: 33 The trial of Real Madrid FC striker, Karim Benzema for attempted blackmail linked to a sex...