Business
Financial deprivation: Kaduna withholds three years 10% IGR allocation from LGAs – Audit report
Findings from the 2019, 2020, and 2021 audit reports have shown that the Kaduna State Government withheld 10 percent statutory allocation from the 23 councils in the state, totaling N17.6 billion.
Local Government Area Councils in the State are entitled to 10% of all internally generated revenue from the state according to the law. These funds are designated for constructing and maintaining public facilities, funding education and healthcare services, providing clean water supply, supporting agricultural development and markets, promoting social welfare, ensuring public safety, managing the environment, and fostering community development among other crucial aspects.
The audit report for 2019 revealed that Kaduna State realized N76.2 billion as Internally Generated Revenue (IGR). The 10 percent statutory and mandatory allocation to the 23 Local Government Councils from this amount is N7.6 billion. However, the audit report indicates that nothing was disbursed to the Local Government Councils as their rightful share.
Similarly, in 2020, the state realized N48.9 billion as IGR. The Councils were entitled to N4.8 billion, representing 10 percent of the allocation. Yet, the audit report stated that they received nothing from the IGR.
Likewise, in 2021, a total IGR of N52.4 billion was observed in the state. The 10 percent statutory allocation for the LGs from this IGR is N5.2 billion. Again, the audit report highlights that the LGAs received zero from the IGR.
The quest for information regarding the non-remittance of the 10% statutory allocation to the Local Government Areas (LGAs) of Kaduna State resulted in a series of unexpected challenges at the Ministry of Finance. The state government’s failure to remit this allocations, highlighted in the Kaduna State audit report, guided our reporter’s inquiry, armed with documented evidence sourced from this official report.
The initial destination was Shizza Joy Bada, the commissioner finance’s office upon arrival, our reporter learned of the Finance Commissioner’s absence. Promptly, a letter supported by the Freedom of Information Act (FOI), meticulously detailing the questions regarding the non-remital of 10 percent IGR and containing all necessary contact information, was presented. However, the attempt to have the letter collected and acknowledged was abruptly halted by an outspoken individual among the office occupants, who explicitly directed against collecting the original copy or stamping the acknowledgment that was brought.
Left in a state of uncertainty, our reporter swiftly sought guidance from the Ministry’s Public Relations Officer (PRO), Abdulkareem Sulieman whose contact information fortunately rested within reach. He directed our reporter to the Permanent Secretary’s office through a phone conversation to sought an audience with the Permanent Secretary to obtain necessary information, only to be met by an aide representing the Secretary.
Following interaction with the aide, she escorted our reporter back to the Commissioner’s office, instructing the office workers to acknowledge the letter. However, moments after acknowledgment, another individual discreetly advised the aide to retrieve the acknowledged letter from our reporter. Subsequently, the letter was snatched away, and a reprinted version, void of any official stamp, was provided.
Efforts to meet the Permanent Secretary were futile as our reporter was informed of the Secretary’s refusal to see him, even after instructing the retrieval of the acknowledged letter.
Resorting to alternative avenues, our reporter attempted to contact the Ministry through email and is yet to receive any response. Similarly, a follow-up message sent via WhatsApp to the PRO, accompanied by a copy of the previously rejected letter, remains unanswered.
Efforts were also made to reach both incumbent and former Local Government chairmen of the state.
Luckily, the former Sole Administrator of Chikun council, Hadiza Ladi Yahuza, who picked the Guardian’s call after several attempts declined to provide crucial information related to the statutory allocation over the phone and directed further inquiries to the Ministries of Finance and Local Governments.
She said “I have left the office like 2 years ago. It is not proper for me to sit in comfort of my house ans start giving information to someone i have never seen before.
“Some of my colleagues are still on the seat. I was just an interim administrator whom the governor sent to sanitize the place. I was drafted there to work and i did what i’m supposed to do with the limited resources i had.”
She however told the Guardian to contact the chairman ALGON and chairman of Kaduna South for more details.
Efforts to reach the chairman of the Association Of Local Government of Nigeria, (ALGON) Honorable Shuaibu Bawa Jaja were unsuccessful. In parallel pursuit, a letter containing questions about what the Councils are doing to retrieve the backlog allocations and contact details was submitted to Jaja, still awaiting response.
Similar attempts to reach Honorable Kabir Jarimi, the Kaduna South Council chairman via phone calls, remained unfruitful.
Meanwhile, a kaduna based Civil Society Organization (CSO) member, Yusuf Goje, who spoke with the Guardian also highlighted the lack of payment to the LGAs and ongoing engagements with the government to secure the rightful allocation. Goje stressed the adverse impact on the LGAs’ budget performance due to the non-release of funds.
According to Goje, “We have kept on writing about this (10% allocation to LGAs) and we have been engaging with the government. “We had dialogue on the independent revenue of local government and also on the 10% statutory allocation to the LGAs. The PHC, schools, feeder roads and water supplies in all LGAs will be improved upon once they get their allocation regularly.”
Fidelity Bank Plc has reaffirmed its commitment to financial inclusion, youth empowerment, and promoting a healthy savings culture by rewarding nine National Youth Service Corps (NYSC) members with N500,000 business grants each.
The grants were awarded under the Get Alert in Millions Season Six (GAIM 6) promo, an initiative designed to reward loyal customers with cash prizes totalling N159 million.
The promo, which runs from November 2024 to August 2025, targets various categories of customers, including NYSC members, students, and general customers.
Mr. Osita Ede, Divisional Head of Product Development at Fidelity Bank Plc, stated that this season of the GAIM promo aims to enhance the opportunities for loyal customers to win.
“When we launched the GAIM 6 promotion in November 2024, we unequivocally stated that this campaign season is intended to promote inclusivity. Consequently, we have increased the total prize money to N159 million and added additional draws, beyond the weekly and monthly draws featured in previous seasons.
“Now, we have specific draws catering to various segments of our customer base including women, students, youth corps members, and traders. It is important to note that these categories of customers also stand the chance to win millions of naira in the monthly and grand draws which we will be hosting till 20 August 2025,” explained Ede.
Nine NYSC customers were selected through a random electronic draw in the first quarter of the GAIM 6 campaign across the country. They are: Oluwatosin Emmanuel Olowolayemo and Ekpeno Aniekan George, both Youth Corps members in Akwa Ibom State; Derryk Chidubem Okafor, Enugu State; Aliyu Idris Adamu, Kaduna State; Bomane-Aziba Koromo, FCT_Abuja; Asabe Grace Adamu, Bornu State; David Agbai Agwu, Osun State; Abdullahi Opeyemi Olajuwon, Lagos State and Eghosa George Orhue, Ekiti State.
Expressing his gratitude and excitement, one of the recipients of the entrepreneurship grant, Chidubem Okafor, appreciated Fidelity Bank for the grant, noting that the funds will enable him to achieve his entrepreneurial dreams.
His words, “At first, I thought it was a scam when they introduced the initiative at our orientation camp, but today, I am truly honored to receive this support from Fidelity Bank. This grant will go a long way in helping me achieve my entrepreneurial dreams, and I promise to make the most of it,”
Similarly, David Agwu, who also emerged a winner in the draw, expressed his surprise at the unexpected win, saying, “When I received the call, I thought it was a prank. I never applied for anything, so it was hard to believe. But when they sent me proof, I realized it was real. I am truly grateful for this opportunity. My plan is to invest the money in vocational training and digital skills development, particularly in fashion and painting in order to establish a sustainable business”.
Beyond the N500,000 entrepreneurship grant, the winners will also enjoy free business advisory and training sessions at the newly launched Fidelity SME Hub, located at 22, Lanre Awolokun Street, Gbagada Phase 2, Lagos.
Ranked among the best banks in Nigeria, Fidelity Bank Plc is a full-fledged Commercial Deposit Money Bank serving over 8.5 million customers through digital banking channels, its 251 business offices in Nigeria and United Kingdom subsidiary, FidBank UK Limited.
The Bank is the recipient of multiple local and international Awards, including the Export Finance Bank of the Year at the 2023 BusinessDay Awards; the Banks and Other Financial Institutions (BAFI) Awards; Best Payment Solution Provider Nigeria 2023; and Best SME Bank Nigeria 2022 by the Global Banking and Finance Awards. It was also recognized as the Best Bank for SMEs in Nigeria by the Euromoney Awards for Excellence 2023 and the Best Domestic Private Bank in Nigeria by the Euromoney Global Private Banking Awards 2023.
The Nigerian National Petroleum Company Limited (NNPCL) has dismissed reports that it has terminated Naira Crude deal with Dangote unilaterally.
In a statement on Monday, the NNPCL explained that the Cude Sales Agreement with Dangote Refinery was still subsistence, clarifying that the existing contract, which allowed crude oil sales in Naira, was structured as a six-month agreement, contingent on availability, and is set to expire at the end of March 2025.
NNPCL said discussions with Dangote for fresh contractual agreement will soon take place.
The statement which was signed by the Director of Corporate Communications of the NNPCL, Mr Segun Soneye disclosed that the NNPCL has supplied Crude Oil to Dangote since October 2024, with 48 million barrels.
He said the supplies was under the Naira contract which in total, the company has provided more than 84 million barrels to the refinery since it commenced operations in 2023.
NNPCL reaffirmed its commitment to supporting local refining, ensuring a steady crude oil supply based on mutually agreed terms.
The Edo State Internal Revenue Service has refuted claims of its February, 2025 revenue drop by one, Mr Ifaluyi Isibor saying, it’s a misrepresentation of facts.
In a statement issued on Sunday by the Head of Corporate Communications of Edo IRS, Courage Eboigbe, lamented the deliberate distortion of facts by those who supposed to know, but decided to mislead the populace for whatever reasons they think they wanted to achieve.
The statement obtained by CAPITAL POST in Abuja reads: “It is disheartening and disingenuous that supposedly educated Edo State citizens would spew out such nonsense for political expediency. Such actions not only mislead the public, but they also undermine the efforts of those working tirelessly to ensure sustainable economic development in our State.
“His claims are far from the truth. The only truth is that the Revenue Service has attained and is sustaining an average of N10 billion to date.
In view of the above, we hereby state that the IGR Report for February is very impressive and stands at over N9.5b, a figure never attained by Isibor’s paymasters.
“That the EIRS firmly dismisses the claim of revenue drop of Edo’s IGR falling from ₦4.7 billion in January to ₦3.4 billion in February, labelling Isibor’s narrative as dubious, deliberately misleading, and dishonest. Our record confirms a stable upward trajectory, which starkly contrasts the narrative put forth by the mischievous Isibor.
“That the EIRS denounces the misinformation, criticizes Isibor for allegedly spreading unverified figures, and insists that the IGR remains on an upward trajectory.
“That the EIRS rejects the notion of separate IGR sources, emphasizing that all government revenue is consolidated into a single figure irrespective of revenue stream.
“That the Revenue Service reiterates its commitment to tackling illegal revenue collection by unauthorized individuals while urging the public to remain vigilant and report any suspicious activities by non-state actors.
“Overall, this statement aims to restore public confidence, reject alleged misinformation, and reaffirm the agency’s professionalism in revenue collection.”
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