Federal Government Approved Five Fundraising Accounts For Covid-19

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Federal Government Approved Five Fundraising Accounts For Covid-19

The Nigerian President, Muhammadu Buhari has announced and agreed to the the opening of five new corona virus fundraising Donor Accounts which is said to be part of the current Treasury Single Account (TSA). The account will reportedly be open with five commercial banks, according to Mr Henshaw Ogubike, Director Information and Press, Office of the Accountant General of the Federation.

Mr. Ogubike stated that the commercial banks in which the whcih the acounts will be opened includes Zenith Bank, UBA, Access Bank, First Bank and Guarantee Trust Bank.

He explained that the Federal Government has identifeid with the high expecttion of the needs of the citizens, assuring that all money will be strictly and diligently used for the purpose of the fight against the pandemic.

“In accordance with citizens expectations, government is committed to managing these funds with the highest sense of transparency and integrity.”

“This framework is therefore designed to articulate the measures put in place by government for the transparent and accountable management of COVID-19 Donor Funds as an expression of its commitment towards bridging the trust gap.”

“The TSA Sub Account in commercial banks are to be used for the purposes of receiving COVID-19 donations only. On no account shall any other fund of Federal Government Ministries, Departments and Agencies (MDA) be deposited into the accounts or any other account in commercial banks.”

“All other government accounts are to be maintained at the CBN in line with the Presidential directive on TSA, the TSA Guidelines and related extant Circulars.”

“And all accounts with commercial banks are to be linked with the TSA at CBN to provide a single consolidated view of aggregate government cash balances.”

“This will provide a single window for real time access to details of receipts and payments across all commercial bank accounts. In the absence of a ready tool to accomplish this requirement, the current CBN Payment gateway may be deployed,” according to him.

“Funds are to be appropriated directly to participating MDA and spending units like Ministry of Health, Ministry of Humanitarian Affairs, Nigerian Centre for Disease Control, among others rather than to an intermediary agency like the Presidential Task Force (PTF).”

“Administrative cost of the PTF shall be appropriated separately to the PTF Secretariat. The advantage is that the respective spending units and their Accounting Officers take full responsibility for funds appropriated to them and likely bottlenecks at the PTF are eliminated.”

“Furthermore, transparency is enhanced when funds are spread to more MDA than when a huge amount is put under the control of a single entity. “Given that there is a national emergency to which everyone including National Assembly is invested in addressing, there is no doubt that legislature will be willing to fast track its passage.”

“This will bind all spending units to the Appropriation Act and, in fact, provide the greatest measure of credibility and transparency to the management of the donation.”

“To ensure equity and transparency in fund allocation, the Minister of Finance may work with the PTF to determine the needs of participating MDA such as Health, Humanitarian Affairs, NCDC among others.”

“Affected MDAs shall present details of their needs together with estimated cost. This will form the basis for allocation of funds and enables post expenditure reporting and audit. Funds are to be transferred to TSA Sub Accounts of spending units based on approved allocations,” he finalised.