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There’s no plan to reduce FG’s share from federation account – Oyedele
By Francesca Hangeior
The Chairman, Presidential Committee on Fiscal Policy and Tax Reforms, Taiwo Oyedele, has denied a media report on the proposal to reduce the Federal Government’s share from the Federation Account Allocation Committee.
While reacting report that the tax specialist via his handle on X.com Sunday that the committee’s recommendation was explicitly with respect to Value-Added Tax.
He noted that the committee also recommended that states and local governments stop imposing “consumption taxes” which result in multiple taxation.
The tweet read,” We did not recommend a reduction in the Federal Government’s share from [the] federation’s account. Our recommendation is with respect to VAT revenue, to increase the share of states and local governments from 85% to 90%, and for states to discontinue their other forms of consumption taxes which constitute multiple taxation on businesses and individuals.”
The FAAC is responsible for reviewing and adopting the allocation of funds to the FG, states and local governments.
At the September 2024 FAAC meeting in Abuja, the committee, in a statement by the Director of Press and Public Relations, Bawa, announced that it had disbursed a total sum of N1.2 trillion earned as revenue in August 2024 to the FG, states and local governments.
The report partly wrote, “Under the new proposal, Oyedele explained [that] the distribution formula for the states and local governments would include a clause stipulating that 60 per cent of their share will be based on the principle of derivation.
In practice, this means if N100 is available for distribution from FAAC, the Federal Government will take N10, all 36 states will share N36 equally, and N54 will be distributed based on derivation, favouring states with higher resource generation.
“This change in the sharing formula is part of broader reforms aimed at eliminating numerous “nuisance taxes” and streamlining the tax collection process. Oyedele noted that the Federal Government had to make this concession to get states on board with a centralised and more efficient tax collection system.
“The new approach not only simplifies tax collection but also lays the foundation for fiscal federalism, giving states and local governments more autonomy over their revenues,” quoted Oyedele.
In early October 2024, the FG, through the Fiscal Policy and Tax Reforms committee, announced the exemption of 63 items from the VAT, as part of its latest fiscal reforms.
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Stampedes: You’ve Weaponized Poverty on Nigerians – HURIWA Tells Tinubu, State Govs
The Human Rights Writers Association of Nigeria (HURIWA) has expressed grave concern over the spate of deadly stampedes occurring across the country, attributing the tragedies to the government’s failure to address worsening economic conditions.
The advocacy group accused both federal and state governments of “weaponizing poverty,” creating an environment where desperate citizens now risk their lives scrambling for basic necessities that were affordable just months ago.
The group condemned the most recent stampede in Maitama, Abuja, where ten individuals, including four children, lost their lives during a food distribution exercise at Holy Trinity Catholic Church. Similarly, the group decried the crowd crush at a school fair in Ibadan, which claimed the lives of at least 35 children, and the stampede in Okija, Anambra State, where multiple casualties were recorded during the distribution of palliatives.
HURIWA lamented that these stampedes are the result of severe hunger and deprivation fueled by skyrocketing inflation, poor economic policies, and the weaponization of poverty.
“Nigerians are dying while rushing for staple foods that were affordable just a few weeks before President Bola Ahmed Tinubu took office.
The government’s inability to implement effective economic policies has pushed millions into desperation,” the group stated.
The Maitama incident, which occurred during a charitable outreach to the vulnerable and elderly, claimed ten lives and left eight others injured. In Ibadan, the deaths of 35 children at a school fair organized by the Wings Foundation and Agidigbo FM Radio shocked the nation, while the stampede in Anambra State highlighted the peril of poorly organized relief efforts in a country where millions live in poverty.
According to HURIWA, the removal of fuel subsidies without adequate cushioning measures has exacerbated the cost of living crisis, forcing many Nigerians into extreme poverty.
With over 133 million Nigerians classified as multi-dimensionally poor, according to recent reports, the group noted that hunger and deprivation have reached unprecedented levels.
“This government has turned poverty into a weapon, creating a situation where citizens are dying to secure basic sustenance. This is not governance; it is a tragedy,” HURIWA asserted.
The association emphasized that these recurring stampedes are symptomatic of a deeper crisis in Nigeria’s socio-economic fabric. It warned that the country is dangerously close to the brink of becoming a failed state. “When citizens die in droves just to access food, it is clear that the state is failing in its primary responsibility of safeguarding the lives and welfare of its people,” HURIWA said.
The advocacy group criticized President Tinubu’s administration for implementing poorly thought-out policies that have worsened the economic situation. It pointed out that the rising cost of staple foods, transportation, and other essential goods has left millions unable to meet basic needs.
“Before this administration, staple foods like rice and garri were within reach for the average Nigerian. Today, these have become luxury items, accessible only to a few,” HURIWA noted.
The association also accused state governments of compounding the problem by failing to prioritize grassroots development and welfare. It cited instances where poorly organized charitable events and palliative distributions have led to fatal stampedes, as seen in Anambra and other states.
HURIWA called for an immediate review of economic policies at both federal and state levels, urging leaders to prioritize the welfare of citizens over political and personal gains. “Governments must stop paying lip service to poverty alleviation and take real steps to address the root causes of hunger and deprivation,” the group stated.
The association proposed several measures to prevent future tragedies and address the underlying causes of the current crisis. These include the immediate implementation of comprehensive social safety net programs to provide food, healthcare, and financial assistance to vulnerable populations. HURIWA also called for massive investments in agriculture to increase food production and reduce dependency on imports.
Also, the group urged the federal government to introduce tax relief measures for low-income earners and small businesses to ease the economic burden. It also advocated for the creation of job opportunities through public works programs and partnerships with the private sector.
HURIWA stressed the need for better coordination of relief efforts to prevent overcrowding and ensure safety during palliative distributions. It called on event organizers to collaborate with local authorities and law enforcement agencies to manage large crowds and maintain order.
The advocacy group further emphasized the importance of accountability and citizen participation in governance. It urged Nigerians to demand transparency and hold their leaders accountable for policies that impoverish the masses.
HURIWA also called on President Tinubu’s administration to reverse policies that have exacerbated poverty and introduce people-centered reforms to rebuild public trust.
“This government must realize that the survival of its people is non-negotiable. Urgent steps must be taken to address the root causes of these tragedies and prevent Nigeria from sliding further into chaos,” the group stated.
As the holiday season approaches, HURIWA appealed to wealthy individuals and organizations to step up their philanthropic efforts to assist the less privileged. However, it stressed the need for such activities to be well-coordinated to avoid further tragedies.
The group reiterated its warning that Nigeria is on the verge of a socio-economic collapse. It called on all levels of government to act decisively to reverse the trend and restore hope to the millions of Nigerians struggling to survive.
“The lives lost in Abuja, Ibadan, Anambra, and elsewhere are a grim reminder of the cost of inaction. The government must stop weaponizing poverty and take immediate steps to address the root causes of this crisis. Failure to act now will only push Nigeria further toward the precipice of a failed state,” HURIWA declared.
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Woman Who Lost 2 Kids In Ibadan Stampede Regrets Not Heeding Spiritual Warning
In the vibrant city of Ibadan, known for its warmth and spirited community, a heart-wrenching tragedy has cast a shadow over the festive season.
A victim of the tragedy, Mrs. Adijat Adewumi, affectionately known as Iya Ola, faces unimaginable grief after losing her two children in a stampede at the 2024 End of the Year Children Funfair. Her story is one of love, loss, and the haunting weight of unheeded warnings.
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Sitting in her modest home in an interview with Sunday Vanguard, Mrs. Adewumi recounted the days leading up to that fateful event, her voice laden with sorrow.
“Just a few days before the funfair, I received a vision from a pastor of a white garment church, a man I had never met. He urged me to observe three days of fasting and prayer. I didn’t think much of it at the time; I thought it was just a spiritual exercise, not a warning of the tragedy that awaited me”, she recounted.
The funfair, organised by Queen Naomi Silekunola, the former wife of the Ooni of Ife, was a beacon of hope for many families in the area. For Mrs. Adewumi, it represented an escape from the harsh realities of life, especially in such difficult economic times.
“I learnt about the event through Alhaji Oriyomi Hazmat’s popular programme. It felt like a chance for my children to enjoy themselves, to forget about our struggles, even if just for a day,” she explained, her voice tinged with regret.
“I wanted to see their joy, to let them experience the magic of the fair. However, as they approached the entrance, chaos erupted. I had to push my way through the crowd, ensuring my children got in first. I wanted them to enjoy every moment. But as the gates swung open, a tidal wave of people surged forward, overwhelming the entrance.
“I felt a sense of dread wash over me,” she said, her voice trembling. “I lost sight of my children in an instant. I started calling their names, but the noise was deafening. The pain is indescribable. It’s like losing a part of my soul.”
In those terrifying moments, the realisation of her spiritual warning came crashing down upon her like a thunderstorm, saying: “If only I had listened more closely. If only I had understood that this was a warning.
“I am a Muslim, but I believe God speaks to us in different ways. I wish I had been more vigilant and responsive to that call,” she lamented.
Vanguard
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US President-elect, Trump threatens to take back control of Panama canal
US President-elect Donald Trump on Saturday slammed what he called unfair fees for US ships passing through the Panama Canal and threatened to demand control of the waterway be returned to Washington.
He also hinted at China’s growing influence around the canal, a worrying trend for American interests as US businesses depend on the channel to move goods between the Atlantic and Pacific oceans.
Our Navy and Commerce have been treated in a very unfair and injudicious way. The fees being charged by Panama are ridiculous,” he said in a post on his Truth Social platform.
“This complete ‘rip-off’ of our Country will immediately stop.”
The Panama Canal, which was completed by the United States in 1914, was returned to the Central American country under a 1977 deal signed by Democratic president Jimmy Carter.
Panama took full control in 1999.
“It was solely for Panama to manage, not China, or anyone else,” Trump said. “We would and will NEVER let it fall into the wrong hands!”
He continued that if Panama could not ensure “the secure, efficient and reliable operation” of the channel, “then we will demand that the Panama Canal be returned to us, in full, and without question.”
Authorities in Panama did not immediately react to Trump’s post.
Although he does not officially take office until next month, Trump has nevertheless been flexing his political influence in the waning days of President Joe Biden’s administration.
The real estate mogul boasted on the campaign trail that as an entrepreneur, he was uniquely positioned to fight for US business interests.
An estimated five percent of global maritime traffic passes through the Panama Canal, which allows ships traveling between Asia and the US East Coast to avoid the long, hazardous route around the southern tip of South America.
The main users of the passage are the United States, China, Japan and South Korea.
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