The National Assembly Joint Committee on Finance has established a special panel to investigate a revenue shortfall exceeding N4 trillion, attributed to indiscriminate waivers granted by government agencies.
The announcement was made during a probe hearing held yesterday in Abuja, co-chaired by Senator Sani Musa and Representative James Faleke.
The session aimed to review the revenue profiles of Ministries, Departments, and Agencies (MDAs) and Government-Owned Enterprises (GOEs) in preparation for the 2025 budget.
This effort is intended to help the Senate and House of Representatives Committees develop accurate and realistic revenue projections for 2025.
The investigation followed a motion by Senator Adamu Aliero on the Senate floor expressing concerns about the significant revenue shortfall and the impact of waivers on expected collections.
“Due to the issue of waivers, there is a serious shortfall between what is supposed to be collected as revenue and what is collected,” Senator Aliero stated.
He added, “From our records, over N5.9 trillion was expected for the Consolidated Revenue Fund, but only N1.9 trillion has been accounted for. We need to set up a special committee to investigate this serious anomaly.
“We cannot allow revenue agencies to spend money without the National Assembly’s oversight. If someone is given a waiver, we must determine who approved it. A shortfall of over N4 trillion is not a small amount. Over N4.9 trillion has not been remitted, and we should investigate all the unremitted funds.”
Co-chair Senator Sani Musa pointed out that many GOEs collect revenue from various sources but fail to disclose them.
“We have discovered that some GOEs do not disclose their full revenue to the budget office. After scrutinising their records, we believe these agencies will be able to provide more details on how these revenues are sourced. We will also focus on their expenditures,” Musa said.
He continued, “It’s concerning that some agencies collect revenues and spend almost 95% of it. This leakage must be addressed, and we are committed to finding a solution.”
Senator Musa also referenced the President’s recent remarks on the 2025 budget, emphasising the need for MDAs to defend their budgets before the National Assembly. He warned that agencies failing to do so could face zero allocations.
The Joint Committee on Finance raised concerns about the Joint Admissions and Matriculation Board (JAMB), questioning why it received a federal grant of N6 billion while remitting only N4 billion to the Consolidated Revenue Fund.
The Committee also scrutinised JAMB’s allocation of N1.1 billion for refreshments and meals in its 2025 budget proposal.
JAMB Registrar Prof. Ishaq Oloyede was directed to return in three days with a more detailed presentation.
Similarly, the Federal Road Safety Corps (FRSC) was scrutinised for failing to remit the N8 billion it generated in 2024.
This followed a presentation by Deputy Corps Marshal Shehu Mohammed, representing the Corps Marshal General. Mohammed reported that while the FRSC had a target of N10 billion, it generated N13 billion but remitted only N5 billion.
“You had a target of N10 billion but generated N13 billion, remitting only N5 billion. You need to furnish this Committee with details of the unremitted funds,” Sani directed.
The Committee instructed the FRSC to provide detailed information on the unremitted funds.
The Minister of Budget and Economic Planning, Atiku Bagudu, emphasised the importance of transparency in revenue generation and allocation.
He noted that the 2024 budget is the current administration’s first full-year budget and that lessons learned will guide assumptions for the 2025 budget, which aims to increase revenue and stabilise the economy.
Bagudu urged all government agencies to cooperate fully with the National Assembly, warning that agencies failing to present and defend their budgets could face zero allocations in the 2025 budget.
Other government agencies, including the Fiscal Responsibility Commission, Nigeria Customs Service, Federal Airports Authority of Nigeria, and Nigeria Communications Commission, have also been summoned to appear before the Committee at its next sitting to account for their revenue and expenditures.
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