THE REVENUE MOBILISATION ALLOCATION AND FISCAL COMMISSION, RMAFC HAS KICKSTARTED THE REVIEW PROCESS OF THE REVENUE ALLOCATION FORMULA, RAF BETWEEN THE FEDERAL, STATES, AND LOCAL GOVERNMENTS.
RMAFC CHAIRMAN, MOHAMMED SHEHU ANNOUNCED THIS DEVELOPMENT AT A MEDIA BRIEFING TODAY, NOTING THAT THE REVIEW BECAME NECESSARY FOLLOWING CURRENT ECONOMIC REALITIES SINCE THE LAST REVIEW IN 1992.
UNDER THE CURRENT FORMULA, THE FEDERAL GOVERNMENT GETS A SHARE OF 52.6 PERCENT, WHILE THERE IS A 26.7 PERCENT CUT FOR THE STATE GOVERNMENTS, AND 20.6 PERCENT IS ALLOCATED TO THE LOCAL GOVERNMENTS.
ACCORDING TO SHEHU, THE REVIEW IS AIMED AT PRODUCING A FAIR, JUST AND EQUITABLE REVENUE SHARING FORMULA THAT REFLECTS THE CURRENT RESPONSIBILITIES, NEEDS, AND CAPACITIES OF THE THREE TIERS OF GOVERNMENTS IN LINE WITH THE CONSTITUTIONAL ROLES.
