Kemi Adeosun, minister of finance, says the treasury single account (TSA), at a current balance of N2.2 trillion, will help to part-fund the 2016 budget.
Adeosun said this while delivering a keynote address at a one-day TSA workshop for state accountants-general in Abuja on Monday.
“TSA at federal level has allowed, for the first time, visibility of the total quantity of government funds at any point in time,” she said.
“The balance, which changes daily as MDA’s remit revenues and make payments, according to the latest reports from CBN, exceeds N2.2 Trillion.
“I can report that work is now ongoing within the treasury to determine how much of these funds can potentially be utilised to part fund the 2016 budget and how much relates to pending commitments. This, of course, will reduce the amount to be borrowed”
She expressed optimism that TSA will “reduce payment delays to contractors, minimise late payment penalties and will consequently improve project completion times and service delivery”.
Adeosun commended the International Monetary Fund (IMF) for working with Nigeria in training personnel on TSA.
“I commend the efforts of the OAGF and organisers for hosting this very important workshop aimed at sensitizing the States Accountants-General on the need to key into the Treasury Single Account scheme of the Federal Government.
“I also wish to thank IMF (FAD Mission) for partnering with Federation Account Allocation Committee (FAAC) in this noble initiative.
“I may also emphasis that timing of this workshop cannot be more auspicious than now when the present Administration of His Excellency, Muhammadu Buhari, GCFR the President of the Federal Republic of Nigeria is vigorously pursuing the war against corruption.
“As professionals in charge of Public Financial Management of your respective states, the ball is in your court and l hope you will take advantage of this workshop to clarify issues that have agitated your minds regarding the implementation of TSA.
“TSA will no doubt enable you to block all financial leakages and conserve more funds needed for development in your various states.
“I am also aware that some states are already implementing TSA. I urge those states to kindly share their experiences with the rest of you so as to encourage those who are yet to decide to take their first step in this direction.”