The Senate, yesterday, approved 3 per cent Federal VAT for the newly established North East Development Agency (NEDA) for a period of 10 years as an intervention fund, as the bill scaled third reading.
The Senate also approved Maiduguri Borno State capital as the location for the administrative headquarters of the commission with Abuja as its temporary office.
The resolution was sequel to the consideration of the Senate Adhoc Committee report on the North East Development Commission, chaired by Senator Sam Egwu (PDP Ebonyi North).
The Senate at its plenary sitting on Tuesday, 14th June 2016 constituted an Ad hoc Committee to determine the location of the headquarters of the North-East Development Commission and to re-examine the financial provisions, and funding for the Commission as contained in the Bill (SB. 163) following disagreement by senators from the North East geo-political zone.
Presenting the committee’s report , Senator Egwu said, “The committee reviewed and agreed with the funding arrangement that was proposed in the Bill but for the aspect that seeked 5 per cent of the Federal VAT without a time frame. Consequently, the committee reviewed the amount to 3 per cent of the Federal VAT for the period of Ten (10) years that will serve as intervention from the federal government.