Agency Wraps Up New National Money-Sharing Template and Officials’ Pay Review

Nigeria is one step closer to a revamped revenue-sharing model after the Revenue Mobilisation Allocation and Fiscal Commission (RMAFC) concluded its long-awaited review of the country’s Revenue Allocation Formula.

Disclosing the development during an interactive session with media editors, RMAFC Chairman Dr. Mohammed Bello Shehu revealed that the commission has submitted its harmonized report and draft legislation to the appropriate authorities for final consideration. The new framework is designed to create a more balanced and realistic distribution of funds from the Federation Account among federal, state, and local governments. Stakeholders have long called for a updated formula to reflect the expanding responsibilities of sub-national governments.

Alongside the revenue-sharing framework, RMAFC has also rounded up its review of salaries and allowances for political, public, and judicial office holders. While judicial salary increases were officially signed into law under recent legislation, an executive bill covering executive and legislative office holders is set to be transmitted to lawmakers. Shehu stressed that any increase in public sector pay must be matched by improved service delivery, public accountability, and stronger governance performance.

Beyond salary and formula reviews, the commission has intensified its tracking of national earnings. Through geospatial mapping and inter-agency collaborations, RMAFC resolved several high-profile oil well attribution conflicts—including transferring 17 oil wells to Rivers State—and brought new gas-producing states into the derivation revenue fold. The agency is also partnering with space and aviation authorities to deploy satellite tech to uncover previously uncollected revenue sources across the nation.