₦airaland Forum

iv. Revenue-Sharing (“Fiscal Federalism”)

Revenue-Sharing Between The Centre And Federating Units Must Be Comprehensively Reviewed To Reflect “Fiscal Federalism”.

There are two facets to the revenue issue.

(i) What should go to the Federation Account; and
(ii) How the money in the Federation account will be shared between the central and regional governments

At Independence under the Raisman formula, 50% of revenue was paid to the regions of origin on the basis of derivation, while 20% was paid to the Federal Government as a contribution by the region for maintenance of the integrity of the nation, and the balance of 30% was shared equally among regional governments including the region of origin. In the same vein, the 1963 Constitution of the Federation States in Sec. 140(i): “There shall be paid by the Federal to each Region a sum equal to fifty percent of the proceeds of any Royalty received by the Federation in respect of any minerals (including mineral oil) extracted in that Region”.

Over the years, the percentage kept by the region on the basis of derivation has been progressively reduced to the level of 3-5%. As a first step to redressing the present distortion, we recommend an increase in the weighting given to the derivation factor to 30%.

Accordingly,
a) We recommend that the amount to be retained by the Central (Federal) government be drastically trimmed down based on a thorough study of the financial requirements for accomplishing its reduced function; that the balance thereafter be shared equally between the six regions. We further recommend that the formula for sharing revenue within the regions shall be the same as recommended for the central (federal) government. However, derivation should be extended to all local governments or states that are environmentally impacted by the resource exploitation.

b) Ownership of resources must be by the areas where these are located.

Most importantly these recommendations will reduce the “CAKE-SHARING MENTALITY” in Nigeria and lead to faster growth and development of the Nigerian economy by encouraging PRODUCTIVITY AND EXPLOITATION OF THE VAST NATURAL RESOURCES OF EACH OF THE SIX REGIONS OF NIGERIA.

WITH THIS BACKGROUND NDIGBO STRONGLY ADVOCATE THE RESTRUCTURING OF NIGERIA INTO SIX (6) REGIONS BASED ON ETHNIC/LINGUISTIC GROUPS (and other related parameters) NAMELY:

a. SOUTH-EAST REGION OF NIGERIA
b. SOUTH-WEST REGION OF NIGERIA
c. SOUTH-SOUTH REGION OF NIGERIA
d. NORTH-CENTRAL REGION OF NIGERIA
e. NORTH-EAST REGION OF NIGERIA
f. NORTH-WEST REGION OF NIGERIA

With ABUJA as the FEDERAL CAPITAL TERRITORY
These regions will constitute the Federating Units, with greater emphasis on derivation in revenue allocation; and equality of the six regions with regard to revenue distributable to the Federating Units.

NOTE:
However, national cohesion and stability should not be jeopardized by giving undue encouragement to centrifugal forces - a potential risk in giving UNLIMITED POWERS to Federating Units.

The objective of the Constitutional Review must be to keep Nigeria as a whole (not a group or section) strong. Accordingly, the Centre (Federal Government) should have all that it genuinely requires to keep the country together, with minimum risk of abuse of power by the Central Government.

Finally we note that whichever way a True Nigeria Federation evolves, FISCAL and FINANCIAL RELATIONSHIP between the Center and Federating Units; and the economic development precipitate financial independence of the Federating Units are of crucial importance.

emmatok: MUMU,

How many criminals you and your bigoted father(beaf)jailed.

kiyosaki1: Please is there no more phone section ?

Beaf: [size=14pt]Where did this thief...[/size]

www.nairaland.com/attachments/679207_Tinubu_2_jpg5b7a4b13d670a3251ad9a6a1d8aa1ffd

[size=14pt]...Get the vast sums required to acquire these aeroplanes?[/size]

[img]http://thewillnigeria.com/files.php?file=First_Nation_two_planes__409946162.jpg[/img]

[img]http://3.bp..com/-SuqO8ddLyB4/Trm_aI2X4nI/AAAAAAAADrI/wGyRLNXMlHI/s1600/first%2Bnation.jpg[/img]

wellmax: ^^^^
This eediot, when will you start using your brain for its intended purpose. How do you feel working for some people against your normal thinking line just because of money. Bros better job still dey o.

karl max: Lagos State, according to the breakdown, is the most indebted state of the federation. With a total foreign debt of $369.20m (N55.38bn), Lagos holds about 20 per cent of the country’s sub-national foreign debt stock. ACN states are increasing the nations depts what do Ʊ have to say about that and how many faroukas were. Ʊ paid from this borrowed money

Gbawe: At least I did not join NL in June 2012. Additionally, when I joined NL , it was not to be saying the same thing, limited to the same characters, like a broken record or a Laptop in Abuja.

The Laptop crew go leave town whether una like am or not. Na Gbawe talk am

nateevs: It's started dry. Lewis starting on the hard compound tyre.
Others in front started on the softer compound.

nateevs: Maldonado again! This dudes needs more than a slap on the wrist.
He's put Perez out.

torkaka: beaf or is it beef,
i repeat,the topic is talking about northern maerginalisation. you are the one who brought about northern elites marginalising NIGERIANS into the mix! i simply put you in line that southern/northern elites are responsible for the marginalisation of nigeria!

torkaka: beaf or is it beef,
i repeat,the topic is talking about northern maerginalisation. you are the one who brought about northern elites marginalising NIGERIANS into the mix! i simply put you in line that southern/northern elites are responsible for the marginalisation of nigeria!
now you are talking about state governors! so does it mean the 16 southern states have reached EUREKA?
ebere jonathan has phucked the little brain you have out through your a.nus hence your irrational and erratic behaviour!
when babangida,abacha,buhari and co were ravaging nigeria where was nzeribe,oyinlola,ani,etiebet and co?
you scum!!

pcicero: Much as I would want to agree with the fact that we have the Nigerian malaise. There is also the problem peculiar to the North. There is a deliberate attempt to pauperize their citizenry. How many Northen governors are making appreciable impacts in areas of Health, education, infrastructure etc. without FG's intervention?
I served in Taraba state between 2003 and 2004 and it was amazing how the governor was ruling the state from Abuja. He was never around. It was the same story with most Northern governors then (even till now).He would only come when it was time to share the allocation. There was only one major road leading into the town- Hamman Ruwa Way. No meaningful development. This same Taraba was created at the same time with Ekiti. You cannot compare both states now.

The North should be introspective and discard their feudal system which is ingrained in the democratic system. How many Northern leaders give scholarships to indigent students inspite of their enormous wealth? What do they give back to their communities except to build mosques?

We should tell ourselves the hard truths because 'conscience is an open wound'...

torkaka: ever wondered why after all these years nigeria still remains in the back waters? because we blame the wrong people!
it is not northern elites that marginalised nigerians, it is nigerian elites(both north and south)

torkaka: ^^stup!dity seems to be your catch word!
you said; northern nigerian peasants as well as NIGERIANS are marginalised by northern elites! so i ask you are those in delta not nigerians? are those in bayelsa not nigerians?
what evidence do you have that northern elites have stolen/marginalised people that southern elites have not done?
for every babangida there is a aikhomu, for every aikhomu there is a falae, for every falae there is a nzeribe!
if like you said "northern elites have marginalised northern peasants and nigerians" then its safe to say southern elites have marginalised southern peasants and nigerians!. which can be shortened to " northern and southern elites have marginalised nigerians"!
meantime go and stick your head in a toilet sit where it belongs!

torkaka: beaf
if you are smart enough you would know that once you steal a kobo of nigerian money,you have contributed in a large way to the marginalisation of the rest of nigerians!
all those are mentioned are grand thieves in nigeria!
they say fish is good for the brain, its seems the fish in the niger delta does the reverse!

ogugua88: That's on you then. I mentioned amphibians and salamanders because they're slimy and crawl. If you think I'd make a joke to purposely hurt people from a certain region, then that's on you. Keep in mind I'm from Delta maternally. I still don't see it as an ethnic insult, but whatever floats your boat.

torkaka: how wouldn't it sound like comedy to you when you left your brain in the toilet!
you said northern nigerian peasants as well as all nigerians are marginalised by northern elites, i just pointed to you that it is not northern elites that are marginalising! it is "NIGERIAN ELITES"

ogugua88:
You think I called him an amphibian because he's from Niger Delta region? Na wa.

That GEJ account is a parody and anything I said is for jokes. Simple. I'm constantly talking against tribalism and such. How you'd think I'd make an ethnic joke is beyond me.

ogugua88: Where was the ethnic insult in "amphibian"? Which tribe or region is comparable to salamanders?

You're so programmed to defend GEJ that you throw insults before reading the comment to which you are replying.