FG probes NNPC, NPA, others for remitting foreign currency revenue in naira

excess crude account now $2.25bn

The Federal Government yesterday said it was investigating some revenue generating agencies that generate revenues in foreign currency but remit in local currency to the federation coffers.

Agencies under this include the Nigerian National Petroleum Corporation (NNPC), Nigerian Ports Authority (NPA) and the Nigerian Maritime Administration and Safety Agency (NIMASA), among others.

The Cross River State Governor Ben Ayade, who said the affected agencies were allegedly generating money in US dollars but remitting in naira, disclosed this.

Ayade was speaking with journalists at the Presidential Villa at the end of the National Economic Council meeting, presided over by Vice President Yemi Osinbajo.

Flanked by Governor Olusegun Mimiko of Ondo State, Governor Aminu Tambuwal of Sokoto State and Governor Darius Ishaku of Taraba State, Ayade said the Central Bank of Nigeria was saddled with the responsibility of probing the agencies.

“A brief report of FGN dollar generating revenue agencies remitting in naira into the Federation Account was also given by the CBN governor. He said investigations are ongoing. Such agencies include but not limited to NNPC, NIMASA and NPA,” he said.

27 states have so far applied for the concessionary loans approved by the Federal Government, Ayade said, speaking further on the discuss of the NEC.

“We also discussed the concessionary loans to states based on collateralisation of the Excess Crude Account, the CBN governor briefed that 27 states have made request for the $10 billion facility and it is currently being processed.

“He has called on the affected states to complete all necessary documentations for the effective release of the said money. It is important to note that not all states have expressed interest in the ECA collaterised loan,” he said.

The permanent secretary, Ministry of Finance, also briefed council on the current status of the Excess Crude Account, which now stands at about $2.25 billion as of October 15. The ECA recorded $2.257 billion last month.

He said the Vice President also briefed the council on the details of the planned refund of monies spent by state governments on the repairs of federal roads adding that efforts are underway to refund all states that have completed the procedures and due process in incurring expenses.

The Federal Government is also compiling the list of states besieged by flood with the aim of assisting them.

Fielding questions from journalists, on the Federal Government’s bailouts to states, Mimiko described the measure as a temporary one as some state governors still find it hard to pay salaries.

“The bailout is a temporary assistance to the state to pay salary. The bailout is the calculation of areas of salaries being owed by states.

“The truth of the matter is that because of the ongoing fall in revenue, accruals to states from Federation Account and IGR are reducing.

“Many states complained to the council today that moving forward, these accruals will still not be enough to pay salaries monthly.

“The issue of the bailout is not the final solution to the perpetual fall in accruals although there is no question about the fact that it has helped the states” he said:

Other governors at the meeting included those of Delta, Adamawa, Lagos, Zamfara, Kwara, Anambra, Plateau, Nasarawa and Kano States.

Others are those of Bauchi, Sokoto, Ogun, Yobe, Imo, Niger, Borno, Benue, Oyo, Ebonyi, Abia, Kaduna, Osun, Edo, Kebbi and Kogi States among others, while their deputies represented others.