Federal government, has revealed that the Federal Government is owed approximately N5.2 trillion in debts.
The Minister of Finance, Budget, and National Planning, Zainab Ahmed
who stated this during a two-day sensitization workshop on Project Lighthouse organised for ICT and Account Staff in federal ministries, departments, and agencies across the North Central Zone in Minna, on Thursday, said the debt is owed by over 5,000 companies and individuals.
The minister, who was represented by the Director of Special Projects in the Federal Ministry of Finance, Budget and National Planning, Victor Omata, said that these debts are debt from the debtors spread across 19 ministries, departments and agencies.
She stated that companies and individuals owing the Federal Government agencies have refused to honour their obligations.
He cited the lack of visibility of these transactions, poor information sharing, and enforcement as reasons why these revenue loopholes remain.
“The Ministry through the consolidation efforts of the Debt Analytics and Reporting Application has been able to aggregate monumental debts of approximately N5.2 trillion. These debts came to the spotlight from data aggregated from over 5,000+ debtors across ten Ministries, Departments, and Agencies. The debt aggregation effort is still ongoing.
“These debts are in the form of debt liabilities to the Federal Inland Revenue Service; refunds to the government by companies who failed to deliver on projects for which payment had been effected, unpaid credit facilities granted to both corporate entities and individuals by the Bank of Industry and Bank of Agriculture; judgment debt in favour of Government, debts owed Pension Transitional Arrangement Directorate by Insurance Companies among others.”