The Federal Government has ended the practice of revenue-collecting agencies retaining a portion of funds, ensuring all revenues now go to the Federation Account for distribution to federal, state, and local governments.

Minister of Finance and Coordinating Minister of the Economy, Wale Edun, explained that previous deductions by agencies such as the FIRS, NCS, and NUPRC reduced funds available for national development without corresponding improvements. The move is part of President Bola Tinubu’s broader fiscal reform agenda focused on transparency, accountability, and efficient resource allocation.

Edun also highlighted the expansion of social protection programmes under the Renewed Hope Agenda, with digital payment systems targeting 50 million Nigerians by year-end, and a ward-based development programme approved for all 8,809 wards to ensure benefits reach the grassroots.

The removal of deductions aims to strengthen fiscal discipline, increase FAAC allocations, and channel more resources toward infrastructure, social welfare, and sustainable development.