FEDERALISM AN D RESOURCES CONTROL IN NIGERIA PROBLEM AND PROSPECT S

Abstract

A recurring decimal in Nigerian federalism is the issue of resource allocation and sharing of revenue between the federal government and the component units. The Nigeria physical federal arrangement is unique because by the nature of the Nigerian arrangement, the federal government controls all the resources, hence distributes revenue to the states and local governments based on criteria, which she determines. The problem has always been there with which criteria should take precedence in the revenue allocation formula, public expression for a new formula that will favor them. Which has always been the case in the country. The recent public expression for resource control by south-south geo-political zone is a clamor for new revenue allocation formula that will increase the derivation fund above its present fixed percentage as contained in section 162 sub-section 2 of the 1999 constitution. A reduction of the responsibility and function of the federal government and reduction of the federal governments share in the federation accounts. This study has examined the issues of revenue control in details and came up with some findings and recommendations.