The non-remittance of revenue by most ministries, departments and agencies of government to the Consolidated Revenue Funds of the Federal Government is currently N1.2tn, the Fiscal Responsibility Commission said on Monday.
The FRC is responsible for mobilising funds from government-owned organisations through the payment of operating surplus to finance the government’s budget.
The Acting Chairman of FRC, Victor Muruako, said the unremitted N1.2tn could be used to fund part of this year’s budget.
He called for the strict enforcement of the Fiscal Responsibility Act 2007, saying this could help to stop borrowings by the government.
Muruako spoke at the opening session of a three-day management retreat for employees of the commission in Abuja.
He said, “Today, our records still show that most of the 122 agencies of government are in default of more than N1.2tn which can fund a substantial portion of the Federal Government of Nigeria budget deficit if remitted in line with FRA 2007.
“These sums are calculated from the already submitted end of year audited accounts of the defaulting agencies, which means the monies can be traced and recovered.”
He said the FRC had insisted that if the government could implement the commission’s recommendations of reigning in more government-owned corporations in the Schedule of the FRA 2007, there might be no need for government to borrow to fund the budget.
Muruako said there was a need to add more agencies to the net of payment of operating surplus.
He said almost all government organisations generate funds one way or the other, but they equally spend on items that were unnecessary, while the government continues to seek for loans to fund its budget.