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.
