{"id":18344,"date":"2026-04-20T02:06:39","date_gmt":"2026-04-20T02:06:39","guid":{"rendered":"https:\/\/edumarkng.com\/news\/world-bank-report-no-leakage-in-federation-revenue-fg\/"},"modified":"2026-04-20T02:06:39","modified_gmt":"2026-04-20T02:06:39","slug":"world-bank-report-no-leakage-in-federation-revenue-fg","status":"publish","type":"post","link":"https:\/\/edumarkng.com\/news\/world-bank-report-no-leakage-in-federation-revenue-fg\/","title":{"rendered":"World Bank report: No leakage in federation revenue \u2014 FG"},"content":{"rendered":"<div style=\"text-align:center\"><img decoding=\"async\" src=\"https:\/\/cdn.vanguardngr.com\/wp-content\/uploads\/2023\/12\/World-bank-Nigeria-Tinubu-poverty.png\" class=\"attachment-post-thumbnail size-post-thumbnail wp-post-image\" alt=\"World Bank report: No leakage in federation revenue \u2014 FG\" title=\"World Bank report: No leakage in federation revenue \u2014 FG\" \/><\/div><p>World Bank report: No leakage in federation revenue \u2014 FG, <\/p>\n<p>The Federal Government\u00a0says deductions from the federation earnings by the Federation Account Allocation Committee, FAAC, are being misrepresented as a diversion of revenue.<\/p>\n<p>In a statement on Sunday signed by Taiwo Oyedele, minister of state for finance, the ministry said some media reports are misrepresenting the findings of the World Bank in the Nigeria Development Update, NDU.<\/p>\n<p>\u00a0The ministry said reports on the NDU are describing the deduction reported by the World Bank as a diversion of revenue or presenting it as hidden spending, whereas the financial institution attributed it to statutory transfers, savings and investments, security-related expenditures, among others.<\/p>\n<p>\u201cThe attention of the Federal Ministry of Finance has been drawn to recent media reports and commentaries that misrepresent the findings of the latest Nigeria Development Update by the World Bank, particularly claims suggesting that a significant portion of federation earnings is being \u201cdiverted\u201d or constitutes \u201chidden spending,\u201d\u201d the ministry said.<\/p>\n<p>\u201cThese interpretations misrepresent the World Bank\u2019s analysis and reflect a misunderstanding of the fiscal system.<\/p>\n<p>\u201cThe misreporting in question incorrectly characterises Federation Account Allocation Committee, FAAC, deductions as \u201cwaste\u201d or missing funds. This is incorrect.<\/p>\n<p>\u201cFAAC deductions, as presented in the World Bank report, include: Statutory transfers, Savings and investments, Security-related expenditures, Cost-of-collection charges, Refunds to Ministries, Departments and Agencies, MDAs, transfers and interventions benefiting subnational governments.\u201d<\/p>\n<p>The finance ministry said refunds and transfers to states and other tiers of government are not leakages.<\/p>\n<p>\u201cThey represent legitimate fiscal flows, including repayments of obligations and statutorily backed allocations,\u201d the government said.<\/p>\n<p>World Bank noted reforms will improve transparency<\/p>\n<p>The ministry also questioned commentaries around the World Bank report, asking why the Bretton Woods institution\u2019s positive review of the federal government\u2019s reforms was ignored.<\/p>\n<p>According to the finance ministry, the World Bank noted that the federal government\u2019s reforms will improve transparency and increase revenue.<\/p>\n<p>\u201cSome commentaries selectively relied on past data while ignoring the forward-looking analysis and ongoing public financial management reforms highlighted in the report,\u201d the finance ministry said.<\/p>\n<p>\u201cThe World Bank explicitly notes that reforms implemented in early 2026, including the recently signed Executive Order to safeguard remittance of petroleum revenues, are already addressing concerns around deductions, and are expected to improve transparency while increasing revenues available to all tiers of government by about 0.4% of GDP annually.<\/p>\n<p>\u201cMisinterpreting one aspect of the analysis without acknowledging the progressive reforms and measures already introduced to enhance distributable federation revenues gives a distorted picture.\u201d<\/p>\n<p>The ministry said the World Bank report is positive, as it revealed economic growth is becoming more broad-based across sectors, inflation, while still elevated, is declining due to deliberate policy actions.<\/p>\n<p>\u201cNigeria\u2019s external position has strengthened significantly, with improved reserves and a current account surplus,\u201d the ministry said.<\/p>\n<p>\u201cDebt indicators have improved, including a decline in the debt-to-GDP ratio, the first in over a decade.<\/p>\n<p>\u201cThese developments reflect the outcomes of the current administration\u2019s ongoing macroeconomic policies and public financial management reforms.\u201d<\/p>\n<p>The finance ministry said the conclusion of the World Bank is not that Nigeria\u2019s fiscal system is collapsing or that reforms have failed.<\/p>\n<p>\u201cRather, it states that reforms are working, and they must be sustained and deepened to translate macroeconomic gains into inclusive growth,\u201d it added.<\/p>\n<p>FG remains committed to strengthening fiscal transparency<\/p>\n<p>The ministry of finance said the federal government will improve revenue mobilisation, ensure efficient public spending, and deepen reforms to support inclusive economic growth, and strengthen fiscal transparency.<\/p>\n<p>\u201cAn accurate understanding and responsible reporting of fiscal information are critical to maintaining confidence in Nigeria\u2019s reform trajectory and economic outlook,\u201d the ministry said.<\/p>\n<p>\u201cWe urge stakeholders, media organisations, and the public to engage constructively with fiscal information and avoid twisted interpretations that may undermine reform efforts and fuel public discord.\u201d<\/p>\n<p>On April 10, the World Bank deleted the Nigeria development report from its website \u2014 three days after it was released.<\/p>\n<p>The post <a href=\"https:\/\/www.vanguardngr.com\/2026\/04\/world-bank-report-no-leakage-in-federation-revenue-fg\/\">World Bank report: No leakage in federation revenue \u2014 FG<\/a> appeared first on <a href=\"https:\/\/www.vanguardngr.com\/\">Vanguard News<\/a>.<\/p>\n<p>, <\/p>\n<p>The Federal Government\u00a0says deductions from the federation earnings by the Federation Account Allocation Committee, FAAC, are being misrepresented as diversion of revenue.<\/p>\n<p>The post <a href=\"https:\/\/www.vanguardngr.com\/2026\/04\/world-bank-report-no-leakage-in-federation-revenue-fg\/\">World Bank report: No leakage in federation revenue \u2014 FG<\/a> appeared first on <a href=\"https:\/\/www.vanguardngr.com\/\">Vanguard News<\/a>.<\/p>\n<p>, <!-- no image -->, olufemiajasa, {authorlink},, , Vanguard News, April 20, 2026, 2:06 am<\/p>\n","protected":false},"excerpt":{"rendered":"<p>World Bank report: No leakage in federation revenue \u2014 FG, The Federal Government\u00a0says deductions from the federation earnings by the Federation Account Allocation Committee, FAAC, are being misrepresented as a diversion of revenue. In a statement on Sunday signed by Taiwo Oyedele, minister of state for finance, the ministry said some media reports are misrepresenting [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":18345,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"_uf_show_specific_survey":0,"_uf_disable_surveys":false,"fifu_image_url":"https:\/\/cdn.vanguardngr.com\/wp-content\/uploads\/2023\/12\/World-bank-Nigeria-Tinubu-poverty.png","fifu_image_alt":"","footnotes":""},"categories":[1931,8,16],"tags":[],"class_list":["post-18344","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-more-news-news","category-news","category-top_stories"],"aioseo_notices":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.4 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>World Bank report: No leakage in federation revenue \u2014 FG - EduNews<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/edumarkng.com\/news\/world-bank-report-no-leakage-in-federation-revenue-fg\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"World Bank report: No leakage in federation revenue \u2014 FG - EduNews\" \/>\n<meta property=\"og:description\" content=\"World Bank report: No leakage in federation revenue \u2014 FG, The Federal Government\u00a0says deductions from the federation earnings by the Federation Account Allocation Committee, FAAC, are being misrepresented as a diversion of revenue. 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