Revenue Agency Chairman Warns Over the Rising Costs of Governance
The Revenue Mobilization and Fiscal Commission (RMAFC) Chairman has expressed concern over the high cost of governance at all levels of government in Nigeria.
The agency warns that the high costs is undermining development of the country.
The agency chairman, Mohammed Sheu on Sunday listed factors raising the costs of governance in Nigeria, as including the expensive presidential system of government, and bureaucracy.
Sheu listed the overlapping ministries and widespread corruption as other major factors contributing to the high costs of governance.
The RMAFC Chairman said there is an urgent need to develop mechanism to reduce the high costs of governance, which according to him, is draining public resources, and hindering economic development.
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He supported President Tinubu for deciding to implement the Orosanye panel on restructuring and rationalization of federal agencies, parastatals and commissions.
According to him, such policies will play a crucial role in cushioning the impact of hyperinflation on the economy. The RMAFC sees price stability and exchange rate stability as good policies in the right direction.
The price stability preserves the purchasing power of the national currency, provides confidence to the investors and assists the citizenry to plan their spending and savings more effectively.
Nwachukwu further advised that the committee overseeing the Oronsaye Report’s implementation consider agencies established since the report’s initial publication in 2014 to ensure a comprehensive overhaul that maximizes savings for infrastructure development.
He called on the federal government and states to use the increased allocations from the Federation Accounts Allocation Committee wisely.
These additional funds should be used to provide adequate support to the Nigerian people, particularly those struggling with the effects of subsidy removal, he said.
The commission urged the government to strengthen cooperation between monetary and fiscal authorities stressing that by effective cooperation and implementing the Oronsaye Report alongside ongoing structural reforms, Nigeria can achieve a more stable exchange rate, control inflation, and create a more business-friendly environment for all.
