The Revenue Mobilization Allocation and Fiscal Commission (RMAFC) has urged the state governments to work towards boosting their Internally Generated Revenue (IGR) and reduce the over-dependency on the Federal allocation for the welfare of their states. The Chairman of the Commission, Elias Mbam, made this call while receiving an Annual State viability Index (ASVI) from the Editor-in-Chief of the Economic Confidential, Yushau Shaibu.
Over the years, states have been accused of over-dependency on the monthly Federal Account Allocation (FAA).
Mbam disclosed that it is no longer easy for the federal government as it has been overstressed, advising the state governors to come up with revenue strategies that would improve its income.
He said, “The annual ASVI report, apart from providing a good source of information to the general public, has been identified as a document that would drive RMAFC on its mandate to encourage states to improve their internally generated revenue,”
He was optimistic that the “factual and authoritative” report would guide state governments in recording the dwindling revenue. In his statement, Shuaibu explained that the ASVI assessed and ranked states by their annual IGR in comparison with their receipts from the FAA.
The PRNigeria founder noted that some states cannot survive without federal funds, adding that seven are insolvent currently
“Apart from Lagos and Ogun States that ranked high in the revenue generation in 2019, more states have impressive and encouraging IGR in 2019 compared to 2018.
“Rivers, Kaduna, Enugu, Kwara, and the Zamfara States had the most impressive revenue generation in 2019 compared to their IGR in 2018”, he said.
