US Embassy Advanced Journalism Training

US Embassy Advanced Journalism Training
El-Mamoon and Mr. Wimer

Friday 9 March 2012

REVENUE ALLOCATION: WHERE NORTHERN STATES GOVERNORS GOT IT WRONG

Recently, there have been calls for the review of the revenue allocation formula to address the apparent lopsidedness against the northern states in the manner national revenue is distributed. The demand, which was spearheaded by the Northern Governors’ Forum through its Chairman and Governor of Niger State, Dr. Mu’azu Babangida Aliyu was premised on the argument that the current allocations, where many northern states receive an average of 4b naira monthly, while some other states with much smaller populations in other regions especially the South-south receive 20 times more, is unfair and inequitable.
The demand for the review of the revenue allocation formula to ensure fairness in favour of northern states was supported by many loud voices in the region, including the Area Consultative Forum (ACF). The overwhelming support that the move receives from many quarters in the region may have been informed by the apparent and extreme imbalance in the manner the north and some southern states are developing. Other reasons always being advanced to stress the need for the review of the existing revenue allocation formula is the alarming rise in the levels of poverty, illiteracy and general backwardness of the region. These are clear and verifiable facts that are strongly supported by numerous available statistics. Outlining these issues revolving around the rising poverty, ignorance, de-industrialization and constant regression of the region’s social, political and economic base is enough to earn the governors’ forum the people’s sympathy, which would be translated into a support for the clamour for the review of the revenue allocation formula they have been championing.
However, the northern governors are supposed to focus much of their attention and efforts at harnessing the regions considerable population and vast, rich agricultural potentials that can be utilized for its development. It is a well known fact that, the north has the potential to provide enough food for much of Africa, to support a vibrant agro-allied industrial base. It is a region that has more solid minerals under it than almost any other part of the country, but it is very disheartening that it is still described, of course with good reasons, as the most impoverished and underdeveloped part of the country. This is because most of the state governors in the north have failed to tap into these precious potentials to initiate and sustain genuine development process.
No doubt, no any good and well-meaning northerner could oppose the call for the review of the revenue allocation formula to redress the lopsidedness against the north. This is because among other reasons, the north is the country’s biggest part and a n unrivalled contributor to national development particularly in view of the role it played in the exploration of the oil resources, during and after the colonial period.
But as the northern governors push for more revenue from the federal coffers, it is very important for them to utilize whatever they generate currently to bring about genuine development of their respective states and the region at large. They should also be seen to be tackling the current state of insecurity in the region, while at the same time putting serious efforts towards reviving agriculture, revamping the region’s textile and cottage industries among other critical sectors of the region’s economy that have been left to die.
Most importantly, the northern governors, who spearhead this demand for the review of the revenue allocation formula, and on whose shoulders much of the political leadership of the region rests, should ensure the rebirth of purposeful and value-oriented leadership that has for long been lost in the region. This is because many ordinary northerners have lost confidence in the capacity and willingness of the leaders to perform, and they are of the view that even if the region is given more allocation from the federation account, it would just end up in the pockets of a few corrupt and self-centered leaders.
Therefore, the northern governors should ensure prudence, transparency and accountability in the way they handle public funds, so that they can regain their lost confidence in the eyes of the public. They should also intensify efforts in addressing basic development issues like health, education, security, poverty reduction and the creation of job opportunities with or without bigger revenue allocation, to ensure rapid socio-economic development of the region.

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