RMAFAC gets funding boost as NEC approves 0.05% non-oil revenue allocation

The national executive council (NEC) has approved an increase in funding for the Revenue Mobilization and Fiscal Allocation Commission (RAMFAC), setting the allocation at 0.05 percent of non-oil federation revenue.

Speaking after the NEC meeting on Thursday in Abuja, Charles Soludo, governor of Anambra, said the council’s approval followed an earlier report by RMAFAC calling for the amendment of its existing Act of Parliament.

The council’s meeting was presided over by Vice-President Kashim Shettima.

“Among the issues discussed at today’s NEC was also the presentation of a report in respect of an earlier presentation by the chairman of the revenue mobilisation and fiscal allocation commission to NEC on the 21st of November, and seeking to essentially revise or repeal the existing Act of Parliament establishing the commission and to replace it with a new one, and then also seeking for a review about alternative funding to the institution,” Soludo said.

“So the report elaborately noted the very onerous responsibilities of RAMFAC and as a very beautiful institution in the functioning of the federation.

“It noted the inadequate funding for this institution to be able to perform its tasks, and the draft repeal and replace legislation that was also pending.

“And after deliberating this, the council noted this and approved as follows: first is that RAMFAC should forward the draft bill to the national assembly for consideration and passage into law.”

Soludo said the council also approved the recommendation for improved funding for RAMFAC “and approved that the commission be funded with 0.05% non-oil Federation revenue based on the proposed tax reforms and subjected to further scrutiny by the National Assembly”.

The governor said the commission had requested 0.75 percent funding from non-oil federation revenue, but the NEC reduced it to 0.05 percent.

In a statement on X, Stanley Nkwocha, senior special assistant to the vice-president on media and communications, said other highlights of the NEC meeting included an update on account balances as of December 2024.

He said th. e excess crude account stood at $473,754.57, the stabilisation fund at N33,727,191,212.94, and the natural resources fund at N28,275,747,874.93.