As the debate for the review of revenue allocation amongst the three tiers of government gain traction, the federal government has proposed a 3.13 percent revenue increase to the local government.

The federal government has agreed to shade-off 2.03 percent of its allocation in favour of the local governments.

By this proposal, the federal government will shade-off 2.03 percent of its allocation and the states will cede 1.1 percent all in favour of the local governments.

Disclosing this at a town-hall meeting on the review of the Nigeria’s vertical revenue allocation formula held in Abuja, Secretary to the Government of the Federation, Mr. Boss Mustapha, said the federal government is willing to concede more money to the LGAs, while also advocating that some of the items on the Exclusive List be taken off to ease some of its burden.

Speaking at the meeting, Minister of the Federal Capital Territory, FCT, Mohammed Bello, said a special funding status should be accorded to the FCT.