Treasury Single Account (TSA) is obviously one of the factors that triggered the recession, but the major factor is the decrease in international price of oil - the only source of revenue to the nation!
In my recent article, Nigeria@56:The Celebration of Recession (in details visit www.noelsculturalentertainment.com , or check my Facebook timeline), it was stated that TSA led to increase in interest rate, but never advocated for its deletion.
It's irrational and a Hasty Generalization for anyone to confidently conclude that the stoppage of TSA will ensure better and great nation! Rather, one should constructively criticise the administration and advice the Federal Government to see into DISCOUNTING RATE —the interest rate charged to commercial banks and other depositing institutions for loans received from central bank(CBN)

Corruption is really the bane of the nation, and Mr. President - Buhari, has clearly made his passion known - to fight it to the last core! According to him, "we shall strongly battle another form of evil that is even worse than terrorism - the evil corruption! We cannot build an economy where corruption is the working capital". And our elders equally say, "where the blacksmith peers at the iron is where the difficulty of the work lies". With TSA, all federal funds from MDAs, lodged into commercial banks, can be traced right from the moment and purpose of its payment, who approved it and if it was taxed.

However, In chapter six, section 162, subsection one of Nigeria constitution; "The Federation shall maintain a special account to be called 'The Federation Account' into which shall be paid all revenues collected by the government of the federation... " Evidently, Federal Government had for years, breached the constitution regarding the collection and management of national revenues. In the same breadth, Ogunyemi, who lectures in department of economics at Obafemi Awolow University(OAU), in his article - Trouble with Nigeria fiscal federation, stated that "The past administration had allegedly basterdized the TSA through arbitrary operation of illegal accounts.

In respect to the provision in section 162 of Nigeria constitution, Buhari(who once said: " I swore by the Holy Quran to protect and obey the constitution, and that he cannot change the past but could change the present and the future) recently, on September 15, 2015; ordered all MDAs, to lodge all national incomes to the 'federation account'. It's also important to note that the same Buhari, during his military regime, adopted the same measure to ensure proper check and balance - what a visionary leader!

As regards to short term financial plans of MDAs, my profession(ACCOUNTANCY) has what we call PETTY CASH BOOK and IMPRESS SYSTEM.
In any organization that has divisional sectors, petty cash book is maintained by the divisions for recording small disbursements i. e expenses. It helps to eliminate fraud, ensures versatility, accountability, practicabilty, limitation of theft, ease of use and limitation of frivolous expenditures. While the main cash book( in this discourse, federation account) is maintained at the centre.
In the words of Frank wood and Alan Sangaster(2012), "It's all very well having a petty cashbook", but where does the money paid out for the expenses come from?—Impress system is the method of controlling petty cahbook by keeping a float which is reimbursed for cash disbursed for the period concerned — thus bringing the cash balance to the formal amount. This is apparently while the incumbent Accountant General of the federation, Ahmed Idris, opined that TSA will boast revenue collection, block leakages and ensure transparency and timely disbursement of funds to beneficiaries, likewise the immediate past Accountant General, Jonal Otula, stated that TSA would bring about transparency, efficiency, and accountability and that the benefit of TSA implementation far outweigh the cost. In the same vein, the CBN had in 2013( before PMB became the president) called for urgent implementation of the TSA in order to properly manage the country's revenue.
So, in all said and done, TSA ensures production of timely and reliable financial statement— beyond transparency and accountability — it really does more good than harm!

By
Nwogboji Emmanuel Elobuike
Accounting Department, FUNAI.
Nwogbojie@gmail.com

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