By Mohammed Bello Doka
The Federal Government's coffers swelled to a staggering N835.7 billion in February, fueled by a remarkable surge in revenue from Ministries, Departments, and Agencies (MDAs). Wale Edun, the Minister of Finance and Coordinating Minister of Economy, revealed this milestone during a presentation titled “Reconstructing the Economy for Growth, Investment and Climate Resilience Development” at the Lagos Business School Breakfast Club.
Underlining the robust growth trajectory, Edun highlighted a monumental leap of N681.45 billion in revenue remitted by MDAs, marking a striking 441.78% increase from the previous year's N154.25 billion. This surge, attributed to an automated two-times daily sweep of 50 per cent of MDAs and Government-Owned Enterprises' (GOEs) Internally Generated Revenue (IGR) since January 2, 2024, signifies a significant stride towards financial stability and economic revitalization.
Setting ambitious targets for the future, Edun outlined a comprehensive execution plan aimed at achieving a remarkable 78 per cent year-on-year increase in budgeted revenue for 2024. Emphasizing the critical importance of implementing an enhanced revenue assurance model, the government aims to reduce the budget deficit to 3.9 per cent of GDP from 6.1 per cent in 2023.
To bolster fiscal prudence, the government has embarked on a series of prudent expenditure measures, including streamlining operations, digitizing processes to minimize leakages, and eliminating inefficiencies. Furthermore, a revamped process for initiating capital expenditure payments for MDAs and GOEs, involving direct payments to contractors, aims to expedite project execution while fostering a culture of cost containment across all government entities.
The surge in revenue from MDAs not only underscores the government's commitment to financial transparency and accountability but also paves the way for sustained economic growth, investment, and climate resilience development. As the nation charts a course towards prosperity, these strides in revenue generation herald a promising future for Nigeria's economic landscape.
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