The Senate on Thursday tasked ministries, departments and agencies to evolve proactive measures to raise revenue generation of the country.
Nigeria is said to be seriously indebted and facing other financial challenges which the lawmakers opine can only be resolved if revenue bar of the country is raised.
Recently, the minister of finance, Zainab Ahmed stated when he appeared before the Senate committee on local and foreign debts that the problem of the country is not debt but lack of adequate revenue.
This is why the Senate has organised an investigative hearing to grant MDAs opportunity to proffer suggestions on how best the revenue generation of the country can be enhanced.
Senator Solomon Olamilekan Adeola, Chairman of the Senate committee on Finance, explained that the meeting was imperative to set the framework for revenue generation.
Also, he stated that the meeting was to enable both the lawmakers and MDAs harmonise and carry out the oversight function with a view to adequately fund the 2020 budget.
“It is our belief that the Federal Government revenue from non-oil and oil revenue sources can be greatly improved upon through strict adherence to the Fiscal responsibility Act 2007, the operation of the Treasury Single Account, broadening of the tax net and compliance with section 162 of the 1999 Constitution of the Federal Republic of Nigeria as amended,” Adeola said.
In his remarks, President of the Senate, Ahmad Lawan said it is necessary that revenue generation agencies set measurable targets for their performance.
Lawan concurred that Nigeria’s problem is how to generate and remit revenue to the government’s treasury.
However, he assured that the Senate will do more legislative intervention and give some supports to MDAs including incentives.
“We have very massive, noble and laudable projects lined up as a government and as an administration but the critical factor of revenue is militating against the realisation of some of these projects.
“Infact, Nigeria has to go out to borrow to fund some of these projects. But we believe that we can do better in terms of revenue generation and collection.
“We believe that in addition to the oil sector, those non-oil sector revenue generation agencies can meet their targets and even do better than the targets,” he stated.
Lawan further said: “we want to see where we need to do more legislative intervention and give some supports including incentives.
“Every agency that is revenue generating should have a target. We have asked the minister of finance to furnish us with the targets set by the ministry in conjunction with the agencies.
“And we are going to work towards the realisation and actualisation of those targets. Where we are able to meet the targets, I think we should aim for higher targets. Where we are not able to meet the targets, we should find out why we are not able to meet those targets.
“Is it something that requires immediate legislative intervention to resolve the problem or the challenge? Or is the policy that is now becoming an encumbrance.”