NDIC remits N7bn in 2018 – MD
The Nigerian Deposit Insurance Corporation, NDIC, said it has remitted N7billion into the federal government’s coffers as its operating surplus for 2018.
Managing Director and Chief Executive of the corporation, Umar Ibrahim, gave the figure at the inauguration of newly appointed boards by the Minister of Finance, Hajiya Zainab Ahmed.
He said the remittance was the corporation’s normal contribution as required by the fiscal responsibility Act.
Ibrahim said the NDIC is set to raise more revenue into the Federal Government’s coffers in 2019 even as he promised that the corporation will work harmoniously with the newly inaugurated board members.
“We reiterate our determination to work with the board, the ministry and other relevant stakeholders to discharge our obligations and ensure that the banking system in Nigeria stays stronger, better and contribute to the development of the Nigerian economy particularly at this critical moment that we just came out of a recession,” he assured.
While inaugurating the board, the Minister of Finance, Mrs. Ahmed tasked the members to exhibit high ethical values in the discharge of their responsibility.
She said, “You are assuming duty at a time when the Nigerian financial system is still facing some challenges and requires efforts aimed at addressing issues such as corporate governance, and high level of non-performing loans.
“You are also coming at a time when the system is grappling with the issues related to meeting the target of reducing financial exclusion in Nigeria to about 20 per cent by the year 2020.
“The potential benefits and risks associated with the financial technology and block chain technology are also on the front burner.
“These and other challenges can cause threats to the stability of our financial system and must be addressed promptly for the sector to play its role in facilitating the implementation of the Economic Recovery and Growth Plan.”
The Senate had in December 2018, confirmed the appointment of Mrs. Ronke Sokefun as chairman of the board of the NDIC.
Members of the NDIC board include Barr. Festus Keyamo, Alh. Garba Bello, Bri.-Gen. Josef Okoloagu, Mr. Mustapha Mudashiru, and Mr. Adewale Adeleke.
Responding on behalf of her board members, Sokefun assured the minister that they would put their wealth of experience to impact positively on the corporation’s overall mandate.
“We will bring our wealth of experience to bear on the corporation and the Nigerian banking system particularly in the discharge of the corporation’s mandate to ensure strict compliance with corporate governance principle,” she stated.
FG introduce tougher measures to monitor MDAs spending, performances
The federal government has approved an improved performance management framework for the Government Owned Enterprises, GOEs, as part of measures of increasing its revenue and blocking revenue leakages.
Accountant General of the Federation, AGF, Ahmed Idris, said the reform initiative will also improve the operational performance of all the GOEs.
Idris stated this at the workshop on the process of revenue generation, accounting and reporting to the Federation Account Allocation Committee, FAAC, organised by the Office of the Accountant General of the Federation.
“Mr. President has approved a new and improved performance management framework for the Government Owned Enterprises (GOEs). The objective is to raise revenue generation and the associated remittances into government treasury,” he stated.
He said the new framework will ensure performance monitoring, expenditure controls, financial oversight of GOEs, and establishment of revenue departments in GOEs among others.
The AGF explained that the performance contracts for CEOs and other key management staff, which will set targets for each GOE will also entail that the OAGF shall mandatorily carry out regular monitoring and ensure monthly publication of revenue and expenditure performance.
On expenditure controls, he explained that “financial circulars on limit of allowable expenses, frequency of board meetings, overseas travels and other potentially wasteful practices shall be strictly enforced.”
Also “annual GOEs’ capital budgets shall be mainstreamed into the Federal Government capital budgets to ensure same level of scrutiny.”
On budgetary and financial reporting requirement, the AGF noted that it shall be mandatory for all GOEs to use the Treasury Single Account; and the quarterly remittance of interim operating surplus by GOEs shall replace the annual remittance, adding that all the accounts of all GOEs shall henceforth be audited within four months after the end of each financial year.
Meanwhile, the Federal Government recently unveiled its strategic revenue growth initiatives, SRGI, for sustainable revenue generation to improve government revenues in both non-oil and oil sectors of the economy.
Minister of Finance while unveiling the initiatives in Abuja, said capacity of revenue sustainability and creating new revenue schemes could not be overemphasized.
The initiatives will also in the short run define revenue targets for the revenue generating MDAs of the government.
The minister said the “the first thematic area is on achieving sustainability revenue generation to optimally collect revenues, so we can always maintain fiscal buoyancy and resilience.”
The second thematic area, she added, is on identifying new revenue streams and enhancing the enforcement with regards to revenue collection on our existing revenue streams.
“The third thematic area is targeted at achieving cohesion between revenue generating entities and equipping them with cutting-edge tools and expertise needed to support high performance, so we can turnaround our current performance on revenue outturn to meet revenue targets that we are charged with,” the finance minister explained.