The Nigerian Senate has issued a warning to federally sponsored Ministries, Departments, and Agencies (MDAs) that have failed to submit 100% of their Internally Generated Revenue (IGR) into the Consolidated Revenue Fund (CRF) to desist from the act.
Chairman of the Senate Committee on Finance, Solomon Adeola (APC-Lagos), issued the warning in Lagos on Friday, noting that it will no longer be business as usual for agencies that can generate more funds in terms of IGR generation and remittance.
Senator Adeola stated that agencies with the potential should contribute to government coffers during the ongoing public hearing with revenue-generating agencies on the 2022-2024 Medium Term Expenditure Framework (MTEF) and Fiscal Strategy Paper (FSP).
He further announced that the Senate would pass legislation to ensure that self-financed agencies keep and remit 70% and 30% of their IGR, respectively, and that MDAs partially supported by the government must now remit 50% of their IGR to the CRF.
While he was at it, he increased the NMCO’s IGR target for the fiscal year 2022 from N4.5 billion to N15 billion.
According to him, the IGR profile of NMCO for 2021 showed it had so far generated N3.1 billion as of June, hence the target increase and he urged NMCO to block all financial loopholes militating against the revenue profile of the organisation.
The senator therefore enhanced the News Agency of Nigeria’s (NAN) IGR forecast for the fiscal year 2022 from N149 million to N250 million, noting that NAN must likewise remit 100% of its IGR to the CRF.
He raised the IGR projection for the Federal Road Safety Commission (FRSC) to N15 billion against what was projected in 2021 by the FRSC, while urging the Agency to pay the differences in the revenue collected on behalf of the federal government from fees generated from charges on driver’s licences from 2016 – 2021 within seven days.
Other agencies that made presentations on their IGR profile and projections for the 2022 budget year at the public hearing include the Infrastructure Concession Regulatory Commission (ICRC) and the Nigerian Airspace Management Agency (NAMA).