Over 60% Of Federal Agencies Violate Financial Regulations – HOR

The House of Representatives has warned that over 60% of federal agencies are violating financial regulations, eroding public trust and undermining the country’s fiscal system.

Chairman House Committee on Public Accounts, Bamidele Salam, gave the warning in Abuja while briefing newsmen ahead of the inaugural National Conference on Public Accounts and Fiscal Governance, with the theme “Fiscal Governance in Nigeria: Charting a new course for transparency and sustainable development scheduled to take place in July.

He noted that the Auditor-General’s report for 2020 and 2021 showed that more than ₦300 billion naira public expenditure, remains unaccounted for, with widespread cases of unauthorized spending and audit queries.

The Lawmaker also outlined additional challenges such as weak audit implementation cycles, significant financial inefficiencies within institutions, inconsistencies in public finance reporting, and minimal enforcement of statutory procedures across all tiers of government.

He emphasised that for Nigeria to fully harness the benefits of the current fiscal reform efforts led by the administration, it is essential to leverage the upcoming conference as a platform for inclusive dialogue and collaborative policy alignment among key stakeholders.

The Chairman explained that the National Conference on Public Accounts and Fiscal Governance aims to promote transparency, efficiency, and integrity in fiscal management, aligning Nigeria’s financial oversight mechanisms with international best practices.

Salam, further stated that the conference, which will be formally opened by President Bola Tinubu will serve as a precursor to the Annual Conference of the West African Association Of Public Accounts Committees, WAPAC, which Nigeria will host in 2025.

Participants, including public accounts committees, auditors, financial managers, and regulatory officers, will engage in hands-on sessions covering tools for effective oversight, performance audits, and policy implementation.

A major outcome of the conference will be the harmonization of existing laws and procedures to align practices at national and sub-national levels, aimed at improving consistency across public financial oversight bodies and enhancing their effectiveness.

He noted that expected Outcomes of the conference will be a significant reduction in unaccounted expenditures from over ₦300 Billion to less than ₦1Billion in the next fiscal year 2026, a drop in the number of audit queries and rate of non-compliance with financial regulations from over 60% to less than double digits at 9% through rigorous capacity building development and a measurable significant improvement in Nigeria’s Fiscal Governance Health Index (FGHI) across all levels of government through enhanced transparency measures using digital technology tools for sustainable national development.

Oduyemi Odumade, Edited By Grace Namiji