PunchNG (illustrative image)
2025-08-24
Writing in ThisDay, analysts argue Nigeria’s revenue sharing formula is due for a rethink, noting the structure continues to shape monthly allocations and fiscal behaviour across the three tiers of government.
The debate ties into calls for deeper fiscal federalism so responsibilities and resources better align at subnational levels.
Any review is likely to reopen negotiations around derivation, VAT sharing and constitutional constraints.
PRNigeria: “RMAFC commenced a review of the revenue sharing formula…”
The Punch (editorial): “for a new allocation formula…”
Analysis/Echotitbits take: The hardest part is political bargaining over who gains and who loses. Watch for a formal RMAFC proposal, National Assembly timelines, and whether derivation/VAT sharing becomes the main flashpoint.
Source: ThisDay — August 24, 2025 (https://www.thisdaylive.com/2025/08/24/issues-in-the-revenue-sharing-formula/)
