Reps Probe CBN Over ₦5.3tn Unremitted Revenue as OAGF Defends MDA Fund Deductions

• Accountant-General’s office says CBN has yet to remit ₦5.3 trillion operating surplus to the Federal Government

• Lawmakers demand details of outstanding revenues from CBN, NNPCL and other agencies

• OAGF admits borrowing funds from MDAs to meet government obligations, promises refunds

The House of Representatives Committee on Public Accounts has intensified its scrutiny of revenue-generating agencies after the Office of the Accountant-General of the Federation (OAGF) disclosed that the Central Bank of Nigeria (CBN) owes the Federal Government ₦5.3 trillion in unremitted operating surplus.

The disclosure was made during an investigative session where Accountant-General of the Federation, Shamsedeen Babatunde Ogunjimi, appeared before the committee to respond to audit queries raised by the Office of the Auditor-General for the Federation.

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Director of Revenue and Investment at the OAGF, Makinde Mogaji, told lawmakers that despite previous directives to remit part of the outstanding amount, the apex bank had yet to comply.

He said the Public Accounts Committee had earlier directed that 70 per cent of the outstanding operating surplus be remitted, but the directive had not been implemented.

According to him, while some agencies have made substantial remittances to the Federal Government, the CBN remains one of the largest debtors.

“The CBN was owing the Federal Government ₦5.3 trillion from its operating surplus. Despite efforts to recover the funds, the money has not been remitted,” Mogaji told the committee.

The committee consequently directed the Accountant-General to provide a comprehensive breakdown of outstanding operating surpluses and other revenues owed by the CBN, the Nigerian National Petroleum Company Limited (NNPCL), and other government agencies.

Lawmakers also demanded explanations over allegations that the OAGF withdrew funds from the accounts of statutory agencies, including the Universal Basic Education Commission (UBEC), National Agency for Science and Engineering Infrastructure (NASENI), and others.

Committee Chairman Bamidele Salam said several agencies had complained that funds earmarked for their statutory responsibilities were deducted without their approval.

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He cited UBEC’s claim that about ₦31 billion was withdrawn from its accounts in separate transactions, while NASENI reportedly lost over ₦70 billion through similar deductions.

Salam expressed concern that such withdrawals could undermine the ability of agencies to execute critical national programmes, particularly basic education projects.

Responding, Ogunjimi acknowledged that the OAGF had, in some instances, temporarily utilised funds belonging to government agencies to meet urgent national financial obligations.

He maintained, however, that the practice was carried out with appropriate authorisation and that the funds were treated as temporary advances rather than permanent withdrawals.

According to him, directives for such transactions originate from the Minister of Finance after reviewing idle balances in agency accounts.

He explained that agencies whose funds were utilised are refunded whenever they require the money for approved projects.

“We cannot simply take money from agencies without approval. We assess funds that have remained unutilised for some time, and where government has pressing financial obligations, we temporarily deploy the funds and refund them when needed,” Ogunjimi said.

He cited the Tertiary Education Trust Fund (TETFund), stating that more than ₦300 billion previously advanced by the agency had been fully refunded.

The Accountant-General also defended the government’s automatic revenue deduction mechanism, describing it as an advance collection system designed to improve federal revenue generation.

He admitted, however, that some agencies successfully sought presidential intervention, resulting in reductions or cancellations of certain deductions, while others, including the NNPCL, had resisted aspects of the policy.

Lawmakers said the committee would continue its investigation into the outstanding remittances and the management of public funds as part of efforts to strengthen fiscal accountability across government institutions.