Abuja, Nigeria – A forensic audit of the Nigerian National Petroleum Company Limited (NNPC Ltd.) is ongoing as part of efforts to scrutinise oil revenue deductions and boost remittances into the Federation Account, the Minister of Finance, Wale Edun has disclosed.
Okay News reports that Wale Edun made the announcement at a press conference in Abuja on Friday where he briefed stakeholders on recent developments in the Nigerian economy. He explained that the audit was mandated by the Federation Account Allocation Committee meeting and is running alongside the implementation of a new presidential executive order. The order directs that certain oil and gas revenues be paid directly into the Federation Account.
The minister said the review is examining deductions and charges that reduce what eventually accrues to the Federal Government, states, and local governments. The Federal Executive Council had earlier mandated a subcommittee to scrutinise the deductions from the Federation Account, particularly the costs of collection and amounts being charged. Edun added that President Bola Tinubu has directed that three elements, management fee, frontier fund, and gas flare penalty, flow directly to the Federation Account.
He stressed that the directive does not override any ongoing legislative or institutional processes. A committee comprising federal and state representatives has been constituted to ensure efficient implementation and is scheduled to meet next week. Edun indicated that the combined effect of the executive order and the forensic audit would clarify the long-debated issue of alleged remittance backlogs.
On revenue transparency, the minister said the government is deploying technology across ministries, departments, and agencies to block leakages and improve accountability. All revenue-earning agencies have been directed to migrate to a unified digital platform. Cash payments for government services would be discontinued from February 20, with manual cash handling described as incompatible with modern public finance management. He also addressed concerns about the cost of collection by certain agencies, noting that under existing regulations, agencies are restricted in the portion of revenue they can retain.
Edun disclosed that the government is engaging private equity investors over concerns around the application of capital gains tax, warning that sudden capital exits could destabilise markets. On social protection, he said 9.1 million households have benefited at least once from the direct benefit transfer programme, with another one million set to be paid and about five million more to be covered before completion of the current phase.
 is ongoing as part of efforts to scrutinise oil revenue deductions and boost remittances into the Federation Account, the Minister of Finance, Wale Edun has disclosed.){kind=link}