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The Minister of Finance and Coordinating Minister of the Economy, Prof. Taiwo Oyedele, says the Federal Government’s economic reforms have pushed the monthly Federal Allocation to over N2 trillion from an average of N300 billion in the past administrations.
Oyedele disclosed the fiscal shift on Monday in Owerri, while declaring open the 2026 National Council on Finance and Economic Development retreat.
He expressed delight that the positive development would help to boost national economic growth.
The theme of the three-day retreat was, “Strengthening Fiscal Federalism for Equity, Sustainable Development and Economic Resilience in a Volatile Global Economy.”
The minister said that President Bola Tinubu’s economic decisions, including fuel subsidy removal and foreign exchange unification, triggered off the surge in revenue, culminating in a record N2.8 trillion disbursement in June 2026.
“For nearly 30 years, it was common for many states to struggle to pay salaries,” Oyedele said.
According to him, no state currently struggles with salary obligations under the new arrangement.
However, the minister warned state governors that higher revenues alone did not guarantee prosperity without strategic investments in local productivity, infrastructure, human capital, and basic public services.
He challenged state and local governments to look beyond monthly oil allocations by aggressively expanding their internally generated revenue bases to weather volatile global economic pressures.
“Ultimately, the federation cannot share its way into prosperity,” Oyedele said.
He, therefore, advised states to transform into active economic platforms, capable of attracting investment, supporting business, and driving job creation.
The minister called for an urgent review of the nation’s allocation…
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Read Full Article by Bala Augie at moneycentral.com.ng
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