Business
TSA Compliance: Group Wants ICPC To Probe MDAs
A non-profit initiative has urged the Independent Corrupt Practices and Other Related Offences Commission (ICPC) to extend its ongoing probe of Ministries, Departments and Agencies (MDAs) to include their level of compliance to the Treasury Single Account (TSA).
The Africa Leadership Strategy and Transparency Development Initiative (ALSTDI) in a statement in Lagos yesterday by its Executive Director, Mr Nelson Ossaieze, also implored the Federal Government to explain its decision to transfer the burden of transacting with the TSA to the citizens.
This, ALSTDI said, was in line with international transparency best practices.
“It is indubitable that the implementation of the Treasury Single Account policy is one of the most significant achievements of the current Federal Government administration.
“This feat is despite the alleged non-compliance or partial compliance by certain MDAs and exclusion of foreign accounts from the scheme.
“Therefore, the need arises for the ICPC to openly investigate the level of adherence to the policy by MDAs in order to consolidate on the remarkable achievement of the policy thus far,” it said.
It noted that in November 2018, the Federal Government suddenly directed that the cost of operating the scheme should be transferred to the payers who were the citizens.
The group also said the change, according to the Accountant General of the Federation, was premised on the unsustainable nature of the cost of servicing the policy.
“Non-card payments to the government now attract a flat service charge of ¦ 157.50K and card payments now cost ¦ 150 plus 0.75 per cent of the amount being paid, subject to a maximum of ¦ 1,200 per transaction.
“Understandable as this appears, owing to the long-term impact on the nation’s economy, the lack of proper public sensitisation leaves much to be desired from the FG.
“Surprisingly, Nigerians are unaware of the policy change prior to the effective date.
“Reports indicate that the operators, like other players in the process, has this sudden reality forced on them.
“FG must bridge the inherent knowledge gap in the public space by embarking on a nationwide sensitisation campaign and highlight the long-term benefits rather than allow the current misinformation to linger,” it added.
ALSTDI, however said, it was aware that the current rate was lower than the global industry benchmark.
It also said that, the current economic realities of the country implied that such changes could not be made without proper and due consideration of the average Nigerian.
The body advised FG to assent the minimum wage bill, implement the 2009 agreement with the Academic Staff Union of Universities and other initiatives to significantly lessen the burden on Nigerians whilst sustaining the gains of the TSA.
It said: “Finally, we remain proud of the role played by the indigenous firms in delivering the TSA project in record-time when foreign companies can not deliver and for their patriotic successful sustenance of the TSA regime.
“SystemSpecs came to the rescue of the country when our economy was on the brink of a total collapse through its deployment of Remita to plug existing leakages in the public financial sector.
“Undeniably, SystemSpecs’ exceptional delivery of a project of national significance is proof of the maturation of indigenous firms hence must be celebrated and not vilified,” it added.
According to ALSTDI, FG is required to do more in promoting these firms and demystifying the TSA service charge will be a step in the right direction.
“In conclusion, as an African-focused Civilian Society Organisation, we entreat FG to make Nigeria proud.
“This can be by promoting and even exporting the TSA to other countries across the continent to promote probity and add to the ranks of TSA compliant nations like Rwanda and Uganda,” it added.
Business
SMEs Dev: Firms Launch N100m Loan Scheme
The facility will be disbursed through participating Microfinance Institutions (MFIs), which will in turn extend the loans to their customers, particularly SMEs, as they directly interface with businesses at the grassroots level.
The Executive Director of COMCIN, Mr. Micheal Ogbaa who represented the Chairman, Dr. Iredele Oyedele (FCA, FCCA), said the initiative is designed to strengthen micro-lending institutions and expand access to finance for grassroots entrepreneurs, particularly women and youths in the informal sector.
Ogbaa explained that COMCIN does not lend directly to individuals but works through its network of microfinance and cooperative institutions, which in turn provide loans to end users.
“We came together to advocate for the microfinance ecosystem. Commercial banks often exclude people at the grassroots, but our members are positioned to reach them. This facility will empower them to do more,” he said.
He noted that the loan scheme offers low interest rates and flexible repayment plans, making it more accessible to small business owners.
According to him, about 90 percent of beneficiaries are expected to be women, who play a key role in sustaining families and driving economic activities at the local level.
“Our focus is on traders, service providers, and players in the informal sector. These are the real movers of the economy. By supporting them, we are strengthening families and contributing to national development,” he added.
Ogbaa disclosed that eligible SMEs with proven integrity and business track records could access up to N5 million each through participating micro-lending institutions. The rollout has commenced in Lagos and will extend to Abuja, Enugu, and other regions, including the South-West, South-East, and North-East.
He said 12 micro-lending institutions have already benefited from the scheme, while 85 applications are currently being processed under the pilot phase.
“Our target is to reach at least 100,000 SMEs nationwide. We are building a platform that connects funding partners with credible micro-lending institutions, creating a reliable channel for financial inclusion,” Ogbaa said.
He added that COMCIN is also working to attract larger funding pools from development finance institutions and private investors, noting that successful implementation of the pilot phase would boost confidence and unlock more capital for SMEs.
“We have seen encouraging testimonies from early beneficiaries. As we demonstrate transparency and efficiency, more institutions will be willing to channel funds through us,” he said.
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