Recovered looted funds: Govs to engage FG to recognise states in distribution of proceeds

The thirty-six State Governors under the aegis of the Nigeria Governors Forum, NGF have resolved to as a matter of urgency, engage the Federal Government to ensure that the governance arrangement of all federation-funded investments recognise State governments as shareholders in the distribution of proceeds from the recovered stolen funds as well as in the decision making process.

Rising from the 8th COVID-19 Teleconference meeting under the aegis of the Nigeria Governors Forum, NGF, the governors expressed concerns about the ownership and distribution of proceeds from recovered looted funds and accounts or investments funded as the first-line charge from the federation account.

A statement signed by the NGF Chairman and Ekiti State Governor, Dr Kayode Fayemi read in part, “Following an update on the rising trend of deductions from revenues accruable to the federation account available for distribution to the three tiers of government, the Governors noted the threat this poses on the fiscal capacity of States to respond to the demands of the COVID-19 pandemic.

“Members also raised concern about the ownership and distribution of proceeds from recovered looted funds and accounts or investments funded as first-line charge from the federation account. The Forum agreed to engage with the federal government to ensure that the governance arrangement of all federation-funded investments recognize State governments as shareholders in the distribution of proceeds and decision making.”


The governors have also set up a Committee that would interface with the federal government on the next Medium-term National Development Plan that would help mitigate the impact of the Coronavirus, COVID-19 crisis.

Consequently, the governors have set up a Committee made up Governors Kayode Fayemi of Ekiti State; Bala Mohammed of Bauchi; Abubakar Atiku of Kebbi; Simon Lalong of Plateau; Udom Emmanuel of Akwa Ibom and Okezie Ikpeazu of Abia to engage the federal government on the next Medium-term National Development Plan.

The Communique read: “The Forum has followed with interest, the development of the 12-month Economic Sustainability Plan by the federal government, which is designed to mitigate the impact of the COVID-19 crisis.

In the spirit of developing a truly coordinated national response to the crisis, Governors expressed the importance of greater consultation and collaboration between the federal and state governments on development planning. A Committee was consequently set up to interface with the federal government on the next Medium-term National Development Plan. The Committee is made up of the Governors of Bauchi, Plateau, Kebbi, Akwa Ibom, Abia and Ekiti.

“A second Committee comprising the Governors of Gombe, Nasarawa, Delta, Ebonyi, Oyo and Kaduna was established to steer the activities of the NGF-NESG Economic Roundtable (NNER) – a sub-national platform of the NGF and the Nigerian Economic Summit Group created to promote sub-national competitiveness through public-private collaboration.”