At least N5.2 trillion has so far been moved to the Treasury Single Account (TSA) from commercial banks, and about 200, 000 deposit bank accounts have been closed as a way of fighting corruption, the Nigerian government announced on Tuesday.
The TSA is a financial policy introduced by the federal government of Nigeria in 2012 but implemented in 2015 to consolidate all inflows from all agencies of government into a single account at the Central Bank of Nigeria.
Before the implementation of the TSA by the administration of President Muhammadu Buhari, a no-nonsense retired Major General who was elected early in 2015 vowing to “kill corruption before corruption kills Nigeria”, ministries and other government agencies had a slew of bank accounts scattered in many banks.
Many of these accounts were used for money laundering and embezzlement. Some with billions of naira in them were only known by the heads of those agencies. Tracing them was often a herculean task.
By bringing all government funds into a single account domiciled at the Central Bank of Nigeria, CBN, government has been able to curb corruption to a certain degree, many say.
On Tuesday, Nigeria’s Accountant-General of the Federation, Mr. Ahmed Idris, revealed that the sum of N5.244 trillion has so far been realised as inflows in the TSA.
Mr Idris said TSA has eliminated multiple banking arrangements in the MDAS and has resulted in the consolidation of over 200,000 bank accounts, which were spread in Deposit Money Banks across the country.
TSA has equally, he added, brought transparency , effective tracking of government revenue as well as blocked leakages and abuse in management of government finances.
“TSA implementation has taken us out of the era of indiscriminate borrowings by MDAS and saved government charges associated borrowing which amounted to about N4.7 Billion prior to full Implementation of TSA,” the AGF said.
Mr. Idris made the disclosure during his welcome address at the opening of a two day retreat on the one year of the TSA implementation, his office said in a statement.
The retreat is being organised by his office at the International Conference Centre Abuja from 14-15 February, 2017
He said, given the considerable gains so far recorded in the TSA implementation, there was need to evaluate the programme and come up with best ways of improving thepPolicy.
He gave assurance that government was considering going beyond the Cash Management of TSA by exploring other viable economic options of resource utilisation and deployment especially in this era of economic recession.