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RMAFC Backs Tinubu On Subsidy Removal, Says N8.4trn NNPC Contribution To FAAC Unpaid Since Jan 2022

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12 months ago

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The Revenue Mobilization Allocation and Fiscal Commission (RMAFC) has reaffirmed its support for President Bola Tinubu’s decision to end fuel subsidy.

The RMAFC chairman, Mohammed Shehu, announced this in a statement on Thursday.

During his inaugural address on May 29, Tinubu had said “Subsidy can no longer justify its ever-increasing costs in the wake of drying resources”.

Since the speech, Nigeria’s economy has taken a tilt, aligning towards post-subsidy realities as citizens wade through the ripple effects of high petrol prices.

In the statement, Shehu said the commission had consistently expressed its position on the issue of petrol subsidy removal since the time of the late Hamman Tukur who chaired the commission during the administration of Olusegun Obasanjo, former president.

He said the agency’s position was premised on the fact that the continued “payment of humongous amounts to a privileged few in the name of subsidy” was a major drain on the nation’s scarce resources.

Shehu said the Nigeria National Petroleum Company (NNPC) Limited, one of the major sources of revenue to the federation account, had since stopped contributing to the national purse due to the subsidy regime.

“As one of the fourteen federal executive bodies established by section 153 (1)(n) and empowered by paragraph 32 (a) and (c) of part 1 of the third schedule of the 1999 constitution (as amended), RMAFC has the constitutional mandate to monitor the accruals to and disbursement of revenue from the federation account and also advise federal and state governments on fiscal efficiency and methods by which their revenue can be increased,” he said.

The chairman described the president’s pronouncement on eliminating the petrol subsidy as a masterstroke that broke the jinx.

This, he said, was the appropriate step in the right direction.

“The country can no longer sustain fuel subsidies whose demerits far outweigh its benefits to the citizenry. It is saddening to note that since 1 January 2022, to date, the Nigeria National Petroleum Company (NNPC) Limited has not been contributing to the federation account due to the claimed subsidy payments,” he said.

“The total amount withheld by the NNPCL as claimed subsidies for this period amounted to N8,480,204,553,608.13 as reported by the office of the accountant general of the federation (OAGF) which is yet to be reconciled by the RMAFC, OAGF, and NNPCL.”

Shehu said in a situation where the records of petrol subsidy transactions are not transparent and crude oil prices are being determined globally, it would be unwise to sustain “the phantom payments of subsidy at the detriment of other critical sectors of the economy”.

The RMAFC chairman emphasized that the cessation of under-recovery payments would eliminate the uncertainty surrounding the subsidy regime.

He added that it would free up funds for the execution of critical national development and human capital enhancement projects such as the provision of an affordable transport system, investment in the education sector, improvement in health care, and infrastructural development.

While commending Tinubu for his “uncommon courage” and political will in doing away with the subsidy, Shehu urged the new administration to work out strategies to cushion the new policy’s attendant effects.

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BIG STORY

Usyk Defeats Fury, Becomes Undisputed Heavyweight Champion

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22 hours ago

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May 19, 2024

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Oleksandr Usyk emerged as the world’s undisputed heavyweight boxing champion adter defeating Tyson Fury.

On Saturday night, Fury and Usyk engaged in combat at the Kingdom Arena located in Riyadh, Saudi Arabia. Usyk defeated the British fighter 115-112, 113-114, and 114-113 on the scorecards to win the fight by split decision.

In the first several rounds of the battle, Fury came out swinging, but Usyk was able to withstand the British fighter’s assault.

As the battle went on, the Ukrainian gained momentum because of his excellent movement and technical proficiency, which allowed him to block Fury’s strong attacks and land accurate shots of his own.

The highly anticipated battle took a turn for the better when the Ukrainian stopped Fury in the ninth round.

Despite Fury’s valiant effort to recover in the final rounds, Usyk’s dominance had already sealed the victory.

The 37-year-old Ukrainian is the first undisputed heavyweight champion of the world since Lennox Lewis 25 years ago. He has now unified the WBA, WBO, IBF, and WBC titles.

For Fury, it is the first loss in his 16-year professional career, but he will have a chance at a rematch before the end of the year.

In his post-fight interview, the British boxer accused the judges of giving the victory to Usyk because of the war in Ukraine.

“His country is at war, so people are siding with the country at war,” he said.

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BIG STORY

Nigeria’s Boniface Scores As Leverkusen Make History With Unbeaten Bundesliga Season

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22 hours ago

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May 19, 2024

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In the final game of the 2023–24 German Bundesliga season, Bayer Leverkusen defeated Augsburg 2-1 in the BayArena on Saturday thanks to an early goal by Victor Boniface.

In lieu of this victory, Leverkusen, who had already won the Bundesliga, would end the season unbeaten in the league.

In the 34-match league, the unbeaten streak that led to the league title consists of 28 wins and 6 draws.

It made history and cemented the names of Boniface and his colleagues in the Bundesliga as the first team to finish the season undefeated.

Boniface, who won the Bundesliga Rookie of the Year award earlier in the week, started the party atmosphere when he slotted home an Amaine Chadli pass inside the area in the 12th minute before Robert Andrich doubled the lead before the half-hour mark.

Mert Komur’s goal on 62 minutes proved only a consolation for Augsburg as Leverkusen sealed victory in front of their passionate fans.

The Levekusen side is led by Xabi Alonso, who is only into his second year but first full season as coach of a senior team.

The team remains unbeaten in all competitions, with the win over Augsburg extending the run to 51 matches.

They have the chance to finish the season unbeaten in all competitions with victories over Atalanta in the UEFA Europa League final on Wednesday and Kaiserslautern three days later.

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BIG STORY

FBI Lauds EFCC, Promises Support As Agency Hands Over Recovered $22k From Convicted Fraudster

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22 hours ago

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May 19, 2024

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The Economic and Financial Crimes Commission (EFCC) says it has handed over $22,000 recovered from Hakeem Olanrewaju, a convicted internet scammer, to the Federal Bureau of Investigations (FBI).

The EFCC, in a statement on Saturday,said the money was handed over to the FBI in Lagos, as the victim, who was defrauded, lives in the US.

Nicholas Oweibo, the judge of the federal high court in Ikoyi, sentenced Olanrewaju to two years imprisonment for identity theft and impersonation in August 2023.

The judge also ordered that the money recovered from him be restituted to his victim.

Speaking during the handover ceremony in Lagos on Friday, Michael Wetkas, acting director of the Lagos zonal command of the EFCC, said the commission remains dedicated to combating crimes and restoring sanity to the nation.

“We are delighted to be handing over this proceeds of crime today,” Wetkas said, adding that “the EFCC is willing and always ready to do more”.

Charles Smith, FBI legal attaché in Nigeria, thanked the EFCC for facilitating the recovery of the money.

“This type of crime cripples businesses in the US, and for them to recover the money within one to two years gives hope to the affected companies and brings some level of justice, even if not all subjects have been identified,” Smith said.

“We hope our relationship continues and fosters a more cohesive partnership between the two agencies.”

Smith added that the FBI is willing to support the investigation in any way possible.

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