The Federal Government on Saturday challenged reports mischaracterizing a World Bank analysis as evidence of “diverted” federation earnings or “hidden spending.”
Minister of State for Finance Oyedele Taiwo in a statement said the reports distort the Nigeria Development Update’s findings on Federation Account Allocation Committee (FAAC) deductions.
The Minister said those deductions—statutory transfers, savings, security costs, collection fees, refunds to agencies, and aid to states—aren’t waste or leakages, but standard fiscal flows, including statutorily required payments.
“Refunds and transfers to states are legitimate,” the statement emphasized, rejecting portrayals of them as missing funds.
Critics, it added, cherry-pick outdated data while overlooking reforms.
A January 2026 executive order now mandates full remittance of petroleum revenues, steps the World Bank credits with boosting transparency and distributable funds by 0.4% of GDP yearly.
According to the Minister, growth broadens across sectors; inflation eases amid policy tightening; reserves swell with a current-account surplus; and debt-to-GDP falls for the first time in a decade.
Minister Oyedele urged accurate reporting to sustain confidence.
“Twisted interpretations undermine reforms and stir discord,” he said.
The Minister said the Ministry recommits to transparency, revenue gains, efficient spending, and deeper changes.
