Soludo Calls for Review of Revenue-Sharing Formula

On Friday, during a media chat in Awka, Anambra State, Governor Prof. Charles Soludo urged the Federal Government to review the current revenue-sharing formula of the Federal Account Allocation Committee.

He argued that this review is essential to facilitate the establishment of state police, which he described as a practical step towards improving security across Nigeria. Soludo highlighted the unrealistic nature of a centralized police system in a complex nation like Nigeria, especially amid rising insecurity, including banditry and kidnappings.

He noted that the current revenue allocation formula disproportionately favors the federal government, which receives 53% of federal revenue, while states receive only 26%. Soludo proposed a new formula of 53% for the federal government, 26% for states, and 21% for local governments, advocating for a more equitable distribution of resources to enhance local governance and security.

He emphasized that the current arrangement limits the capacity of states to drive development and security effectively.