RMAFC hails Tinubu for oil revenue remittance order

The Revenue Mobilisation Allocation and Fiscal Commission (RMAFC) has commended President Bola Tinubu for ordering direct remittance of oil and gas revenues to the Federation Account, describing it as a major fiscal reform.

Dr Mohammed Shehu, Chairman of the RMAFC, made the remark in a statement on Saturday in Abuja.

Shehu described the Executive Order as bold, constitutionally grounded and capable of improving transparency and accountability in revenue management.

He said the directive would help eliminate leakages and strengthen the revenue base of federal, state and local governments.

He explained that the order aligned with constitutional provisions governing ownership and control of mineral resources for the collective benefit of Nigerians.

According to him, previous frameworks allowed multiple deductions that reduced remittances into the federation account.

Shehu listed such deductions to include management fees, frontier exploration allocations and other charges.

He said the deductions constrained fiscal capacity across all tiers of government, adding that the commission had consistently advocated reforms to address revenue leakages and improve remittance processes.

The chairman recalled a recent retreat where concerns about revenue retention outside the federation account were discussed.

He said the executive order had addressed many of the structural challenges identified by the commission.

Shehu described the reform as timely in view of increasing national demands, adding that such demands include security, infrastructure, education, healthcare and economic stabilisation.

‘’The directive will improve transparency and predictability in government revenue flows; it will also strengthen fiscal federalism and restore constitutional revenue rights.

“The reform enhances the commission’s capacity to monitor revenue accruals and disbursement, as well as supporting the commission’s constitutional oversight responsibilities,” he said.

Shehu reaffirmed the commission’s support for ongoing public financial management reforms, noting that the RMAFC would continue to collaborate with relevant institutions to ensure effective implementation.

He said that the commission remained committed to safeguarding the integrity of the federation account.