The Nigerian Senate has approved a 15% allocation from the Consolidated Revenue Fund, CRF, to support funding for newly created zonal development commissions.
The approval was reached following the consideration of the Senate Committee on Special Duties’ report on various regional development bills.
Lawmakers were initially divided over the funding model proposed in the South-South Development Commission Establishment Bill, which serves as a blueprint for other zones. The committee recommended that 15% of statutory allocations from states within each zone fund these commissions.
Some senators, including Yahaya Abdullahi (PDP, Kebbi North), Wasiu Eshinlokun (APC, Lagos East), and Seriake Dickson (PDP, Bayelsa West), argued that such deductions could prompt legal challenges from states. “Mr. President, distinguished colleagues, the 15 per cent of statutory allocations of member states recommended for funding their zonal development commissions would be litigated against by some state governments,” Abdullahi said.
However, Deputy Senate President Barau Jibrin clarified that the 15% allocation would not be directly deducted from state funds; rather, it would be sourced from the CRF through federal calculation.
He said: “Mr President, distinguished colleagues, the 15 per cent of statutory allocation of member states, recommended for funding of zonal development commissions by the Federal Government, is not about deduction at all.
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“What is recommended as contained in the report presented to us by the committee on special duties and being considered by the Senate now is that 15 per cent of statutory allocation of member states in a zonal development commission would, by way of calculation by the Federal Government, used to fund the commission from the Consolidated Revenue Fund.
“Each state has a monthly statutory allocation, 15 per cent of which, as contained in this report being considered, will be calculated by the Federal Government and removed from the Consolidated Revenue Fund for funding of their development commission.”
Senate President Godswill Akpabio supported the funding plan, citing the National Assembly’s authority to appropriate funds under Section 162(4) of the Constitution. After further clarification, a voice vote favored the provision.
The approved bills include the South-South Development Commission Establishment Bill 2024, amendments to the North-West and South-East Development Commissions, and similar bills for the North-Central and South-West. Akpabio expressed optimism that these measures would provide a solid foundation for the newly established Ministry of Regional Development, aiming to promote balanced growth across Nigeria’s regions.
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