June 24, 2024

RMAFC Commends Tinubu’s Adoption of Oronsaye Report to Curb Governance Costs

 

The Revenue Mobilization Allocation and Fiscal Commission (RMAFC) have commended President Bola Tinubu for endorsing the Oronsaye Committee Report, recently approved by the Federal Executive Council (FEC). The move is seen as a strategic step to address the issue of high governance costs by restructuring and rationalizing federal agencies, parastatals, and commissions.

Mohammed Shehu, Chairman of RMAFC, issued a statement over the weekend acknowledging the significance of tackling the problem of high governance costs. Shehu emphasized that the financial burden associated with governance has led to a reduction in infrastructure provision, social services, and subsequently, a decline in investment. He noted the correlation between these challenges and the escalating levels of unemployment and insecurity in the country.

 

In his statement, Shehu highlighted that effective progress in any society is contingent on developing a competent and cost-effective management system. RMAFC has been a consistent advocate for reducing the cost of governance and has provided comprehensive suggestions and recommendations to various levels of government. The aim is to curtail unnecessary expenditures and monitor funds spent on developmental projects that positively impact citizens’ lives.

 

The chairman pointed out that the expensive nature of the presidential system of government, coupled with a large bureaucracy, duplication of government entities, and endemic corruption, contributes to the high cost of governance in Nigeria. Other factors mentioned included infrastructure failures leading to high costs of public service delivery, increased security expenses due to insurgencies, kidnappings, and armed robbery, as well as the burden of multiple salaries and severance allowances.

 

The decision by President Bola Tinubu to adopt the Oronsaye Committee Report aligns with ongoing efforts to streamline government operations and address the root causes of financial challenges in the country.

Leave a Reply

Your email address will not be published. Required fields are marked *