Lagos Chamber of Commerce and Industry (LCCI), has called for a review of operation of the single treasury account (TSA) to allow easier access to the funds.
Decentralisation of the account, according to the council, will allow government agencies to have easier access to the funds, and resolve the current shortage of funds in the federal ministries, departments and agencies (MDAs).
The council’s director general, Muda Yusuf who made the call in an interview says the TSA has its advantages, but for its over-centralisation in Nigeria, has created bottlenecks in the releases of funds and is hampering activities of MDAs.
Yusuf explained that there is the need for the Presidency to evolve a model in the TSA structure that will eliminate bottlenecks, boost operation and productivity of the MDAs.
According to him, an efficient public finance structure will stimulate economic growth through government’s spending and improve participation and confidence of the private sector
TSA is a public accounting system where all revenues, receipts and incomes of all revenue generating agencies of government are pooled in a single account in the central bank.
More than N7 trillion has accrued into the account since its introduction in 2012.