RMAFC Chairman Calls For Shift From Oil Revenue

The Chairman of the Revenue Mobilization Allocation and Fiscal Commission (RMAFC), Mohammed Bello Shehu, has called for a robust approach to domestic revenue mobilization to finance national development.

Dr. Mohammed Shehu made the call while making his presentation at the just concluded 2024 edition of the National Council on Finance and Economic Development (NACOFED), with the theme, ‘Fostering Economic Growth in Challenging Times: Strategies for Policies and Partnership for Fiscal Sustainability and National Development’, in Bauchi.

He emphasized the urgent need for diversifying Nigeria’s revenue base to ensure fiscal independence and economic resilience, stressing that “Nigeria’s reliance on oil revenue, coupled with global price volatility and rising debt burdens, has highlighted the need for sustainable alternatives.

“Boosting domestic revenue provides a predictable foundation for national planning and reduces reliance on external borrowing.”

The Chairman identified taxation, non-tax revenues, state-owned enterprises, and the non-oil sector as pivotal sources of domestic revenue.

He highlighted the significance of enhancing efficiency in tax administration and broadening the tax base by integrating the informal sector into the economy.

RMAFC boss recommended diversifying revenue sources, strengthening tax systems, and promoting transparency and accountability.

He also stressed the need to invest in renewable energy, solid minerals, agriculture, technology, education, tourism and infrastructure to foster long-term growth.

“Domestic revenue mobilization is not just a financial necessity but a pathway to Nigeria’s economic self-reliance.

“By prioritizing inclusive growth and strategic investments, Nigeria can build a sustainable and resilient economy capable of meeting the aspirations of its people,” he added.

The National Council on Finance and Economic Development (NACOFED) is a financial body primarily overseen by the Federal Ministry of Finance, that serves as a platform for coordinating economic policies and strategies across all tiers of government (federal, state, and local) to drive national economic development.

It is a forum where key stakeholders discuss and agree on crucial financial and economic issues affecting the country.