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Published On: Sat, Apr 5th, 2014

N4GG: Why Confab Must Endorse True Fiscal Federalism

LAGOS APRIL 5TH (URHOBOTODAY)-A non-governmental organization, Network for Good Governance (N4GG) has advised delegates to on-going National Conference to endorse true fiscal federalism.
Making the call on behalf of the organization after a meeting held in Calabar, Cross Rivers State, N4GG South-South Zonal Director, Dr Kevin Jack Green, argued that the call for true fiscal federalism become necessary to ensure that federating units source their funds and develop their states at their pace while paying tax to the centre.

He noted that a situation where states depend mainly on the Federal Government as presently practiced was not a reflection of true fiscal federalism.
Describing the structure of Nigeria as old and therefore should be pulled down and replaced, Green said, “The structure as we see today called Nigeria is faulty in the sense that we call it Federal Republic of Nigeria.
How federal is Nigeria when the federating units will come to Abuja every 18th of the month cap in hand begging for allowance from the Federal Government?
“Today we do not have more than 10 states in Nigeria. The rest are glorified local government areas. If a state cannot generate funds to pay salaries of its workers, how do you call such a state?”
He stressed that if true fiscal federalism is enthroned, all the states would be encouraged to generate revenue and it would not be a case of one state reaping from the resourcefulness of other states.

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