http://martartins..com.ng/2016/09/is-treasury-single-account-really-cause.html


Yesterday i came across this statement from distinguished senators of our federal republic about the TSA(Treasury Single Account). According to theses Senators Bassey Akpan (PDP Akwa Ibom North East), Samuel Anyanwu (PDP Imo East) and Mao Ohuabunwa (PDP Abia North), called for a re-think by the federal government on the implementation of the TSA as, according to them, it is one the factors that triggered the recession.
He said between August and November last year, as a result of the implementation of the policy, about N1.8 trillion was withdrawn from the banking system, which increased to N2.8 trillion in January this year and N3.4 trillion now , leading to drastic reduction in lending capacities of the commercial banks with attendant effect on the country’s economy.
Before we delve further, let us re-visit what the TSA is all bout before considering how much it might have effected the recession we are currently facing. This piece will be in two parts.
1. TSA refers to Treasury Single Account, a public accounting system using a single account, or a set of linked accounts by government to ensure all revenue receipts and payments are done through a Consolidated Revenue Account (CRA) at the Central Bank of Nigeria (CBN).
2. The pilot TSA scheme commenced in 2012 using a unified structure of accounting for 217 government Ministries, Departments and Agencies, MDAs, for accountability and transparency in public fund management.
3. All government MDAs remit their revenue collections to the CRA through their individual commercial banks on a fee-for-service remuneration basis.
4. Although all monies earned by the federal government through value added tax (VAT), customs duties, immigration and other charges, are supposed to be paid into the CRA, a few exceptions border on accounts operated by joint venture partners with government, like oil mining leases (OMLs) in the oil and gas industry.
5. Deposit Money Banks (DMBs) are allowed to maintain revenue collection accounts for MDAs, but all collections must be remitted to the CRA at the end of every banking day; that is MDAs’ accounts with DMBs must be at zero balance at the end of every banking day.
6. TSA allows government banking to be unified, to enable the relevant stakeholders, such as the Ministry of Finance and Accountant General of the Federation to have full oversight of all cash flows across different bank accounts.
7. The different TSA account types include main account; subsidiary or sub-account; transaction account; zero balance account; imprest account; transit and correspondence accounts for different transaction purposes.
8. TSA helps check incidence of multiple accounts operated by government MDAs for collection and spending of government revenues.
9. TSA will ensure adequate monitoring of government revenue receipts and expenditures and block leakages, as no MDA is allowed to keep any operational bank account.
10. TSA will help check incidence of idle cash lying over extended periods in bank accounts held by spending MDAs, while government continues to borrow to execute its budgets.
11. Under TSA, DMBs using public sector funds deposited by MDAs to make free profits will not be possible.
12. To pay money under TSA, depositors make payment to a transit account in a commercial bank and the funds are automatically remitted to the CRA in the CBN at regular intervals, say at the end of the business day or at more frequent intervals
13. Payments through the TSA follow an electronic system, with direct payments or deposits to the bank account of the beneficiary MDA.
14. MDAs registered on the electronic payment platform, or CBN Payment Gateway, through the Settlement Centre, Funds Department, Office of the Accountant General of the Federation are granted access to funds collected on their behalf at the CBN.
15. The TSA scheme covers all MDAs as well as other institutions and parastatals that collect revenues and monies payable to FGN, including all forms of receipts, refunds, operating surpluses, transfers, donations, over-payment, taxes and customs duties, etc.

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ok

TSA is not responsible for the recession and also has nothing to do with the banks and the mk money problems they are facing.


The Bank was part time of our corrupt and economy under 16 years of PDP corrupt government.

When the going was good and when Nigeria was selling oil for over $100 per barrel, the banks just like the FG did not diversify their holdings or roll in new income generating products and instead banked and stacked their future on banking stolen public funds and TSA that never belonged to the Banks and should never be part of their holdings and life support.


The banks are now in trouble because there is no more looted funds to deposit and the looted funds logged in the banks are either frozen or returned to the government which remains source of their primary problem. The banks lived large on fake and corrupt economy that they helped to create.

Secondly is TSA is not their money and asking for that money is like asking for FG bailout which they are not entitled to.

Our priority right now is to lay strong foundation for real life economy where the banks, the FG and the entire Nigerian society stands on their own 2 feet and not on corruption and fake economy.


If the banks are crying for what's not theirs, then they should pack up and go home because they are not real banks.


TSA is for the FG to spend on infrastructure and crate jobs for Nigerians.

Ok

aresssa:
TSA is not responsible for the recession and also has nothing to do with the banks and the mk money problems they are facing.


The Bank was part time of our corrupt and economy under 16 years of PDP corrupt government.

When the going was good and when Nigeria was selling oil for over $100 per barrel, the banks just like the FG did not diversify their holdings or roll in new income generating products and instead banked and stacked their future on banking stolen public funds and TSA that never belonged to the Banks and should never be part of their holdings and life support.


The banks are now in trouble because there is no more looted funds to deposit and the looted funds logged in the banks are either frozen or returned to the government which remains source of their primary problem. The banks lived large on fake and corrupt economy that they helped to create.

Secondly is TSA is not their money and asking for that money is like asking for FG bailout which they are not entitled to.

Our priority right now is to lay strong foundation for real life economy where the banks, the FG and the entire Nigerian society stands on their own 2 feet and not on corruption and fake economy.


If the banks are crying for what's not theirs, then they should pack up and go home because they are not real banks.


TSA is for the FG to spend on infrastructure and crate jobs for Nigerians.

it can be argued that TSA made them no to have cash to give enough loans