Sen. Ita Enang, a chieftain of the All Progressives Congress (APC), has urged a review of the revenue sharing formula to give the Federal Government a larger allocation for addressing national security and other critical responsibilities.
Speaking in Abuja on Friday, Enang said the current formula between the federal, state and local governments no longer reflects the realities and burdens placed on the Federal Government.
“We are calling for an amendment of the revenue sharing formula. More funds should be allocated to the Federal Government because of its growing responsibilities, especially in the area of security,” he said.
The former presidential aide noted that many federal ministries and agencies were unable to execute budgeted projects due to inadequate funding, even as the government continues to contend with security challenges across the country.
“I reviewed the Federal Tenders Journal, and hardly any major federal projects are being advertised. Most ministries and universities have projects in the budget but lack funds to execute them and many cannot even advertise tenders,” he added.
Enang also faulted the imbalance in borrowing, arguing that while state governments boast of financial independence, the Federal Government is often criticised for taking loans to finance national priorities.
“Governors often claim they are not borrowing, yet the Federal Government is forced to borrow to fund national projects like Tucano jets, drones and other security infrastructure that benefit all states,” he said.
He observed that the formula was adopted at a time Nigeria had fewer federal institutions and lower security threats.
“In the last 26 years, look at how many universities, teaching hospitals and polytechnics have been established, all funded by the Federal Government. Yet, staff of these institutions pay taxes to the states where they are located,” he said.
He urged the Revenue Mobilisation Allocation and Fiscal Commission (RMAFC) to reassess the distribution formula, taking into account the growth of federal responsibilities.
“If the commission critically examines today’s realities—the growth of federal institutions, rising security demands, and fiscal strain—it would be clear that the Federal Government needs a larger share of national revenue,” Enang said.
He warned that without adequate funding, the Federal Government would continue to struggle with critical national functions, particularly security in states such as Benue, Taraba and Zamfara.
(NAN)