2021 budget: Reps direct MDAs to remit 25% of IGR into Federation Account

In line with President Muhammadu Buhari’s clarion call towards ensuring accountability of revenues accrued to the federation, the House of Representatives on Monday directed all federal revenue generating agencies to remit 25% of internally generated revenues into the Federation Account in line with the provisions of the Fiscal Responsibility Act, 2007.

Chairman, House Committee on Healthcare Services, Hon. Yusuf Tanko Sununu (APC-Kebbi) stated this while addressing MDAs at the resumed 2021 budget defence session.

The lawmaker who observed that prompt remittance of the internally generated revenue will enable the government to effectively finance the 2021 budget, said: “Let’s also try to emphasize that revenues generated by MDAs are supposed to be remitted to the Federal government in their right percentage.

According to him, “with that, the amount of revenue needed to finance the budget every year will be drastically reduced. That is if all revenue-generating MDAs remit what’s due to government in all honesty and truth — and as and when due.

“So this committee will do its due diligence in looking at the revenues of agencies under our purview and ensure that the right amount is remitted before consideration for their 2021 budget proposals,” Hon. Sununu said.

Worried by the inconsistencies observed in the budget performances of Medical Science Laboratory Council of Nigeria (MSLCN), Radiographers Registration Council of Nigeria, the Nigeria Pharmaceutical Research Institute (NIPRI) as well as the Community Health Practitioners Registration Board, the Committee chided the agencies for failing to provide records of 25 percent remittance of their internally generated revenue.

However, the lawmakers gave a clean bill of health on the budget performance of Nursing and Midwifery Registration Council, as well as the Nigeria Institute of Medical Research, Yaba Lagos State.

In his presentation, MSLCN Registrar/CEO, Tosan Erhabor, explained that all the revenue accrued to the agency was used to offset the running cost.

According to him, “the sum of N136 million was generated so far this year but we are unable to remit the 25 percent as laid down by the rules due to COVID-19 which led to putting on hold our inspection and accreditation of training courses from where more money comes in.”

He, however, expressed optimism that something tangible could still be done before the end of the year, saying that if not that the calibration pit wasn’t put in place as expected, Nigeria would have been able to test for COVID-19.

In his remarks, Hon. Sununu noted that the agency though hampered by COVID-19 should still have generated more revenue beyond what it got.

“Apart from inspection and accreditation, weren’t there any other services to private organisations that generated funds?

“Because you are an agency that’s really short of N20 million remittance to the Federal Government,” he said.

To this end, he issued 96 hours ultimatum to the Registrar provide evidence of remittances to the Federal Government.

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