The Nigerian Senate has reaffirmed its commitment to ensuring adequate funding for the Fiscal Responsibility Commission (FRC) and other government watchdog agencies, emphasizing the critical role these institutions play in enforcing financial discipline and ensuring compliance with fiscal regulations.
This declaration was made by the Chairman of the Senate Committee on Finance, Senator Mohammed Sani Musa, during the 2025 budget defense session held in Abuja. The session saw the Chairman of the Fiscal Responsibility Commission, Victor Muruako, present the agency’s performance report and funding requirements.
Senator Sani Musa highlighted the persistent underfunding of the FRC since its establishment in 2007 and criticized the restrictive budget envelope system used by the Budget Office, which has continually hampered the Commission’s operations. He described the FRC as a vital institution that acts as a watchdog over revenue-generating agencies and ensures they comply with remittance regulations.
“You are not funded very well, and yet your work is crucial. You are like the office of the Auditor General but focused on revenue and remittances. Despite the challenges, you’ve been up and doing, and I commend you for that,” Senator Musa stated. He assured the Commission that the Senate would prioritize a review of its 2025 budget to ensure it is adequately funded, enabling it to perform its mandate effectively.
Established by an Act of Parliament in 2007 under the presidency, the Fiscal Responsibility Commission was created to promote transparency and accountability in Nigeria’s financial management. Despite its strategic importance, the Commission has consistently struggled with inadequate funding, limiting its ability to enforce compliance and ensure remittances to the Consolidated Revenue Fund (CRF).
Victor Muruako, Chairman of the FRC, described the agency’s 2025 budget of ₦1.6 billion as grossly inadequate, given the extensive nature of its work. He emphasized that inadequate funding has posed a major challenge to the Commission’s efforts to ensure government-owned enterprises comply with remittance requirements. “We are doing our best, but the lack of sufficient funding makes it difficult to achieve our goals,” Muruako explained.
The Senate Committee members, including Senator Abdul Ningi representing Bauchi Central Senatorial District, echoed the concerns raised by the Commission. They expressed support for the review of the FRC’s budget and called for an amendment to the Fiscal Responsibility Act to strengthen compliance mechanisms and enhance transparency and accountability in public financial management.
Senator Musa revealed that he had written to the Senate President regarding the inadequate funding of the FRC and expressed confidence that the matter would receive urgent attention. He further noted that the Committee was not only focused on the current budget proposal but also on securing a long-term solution to the Commission’s funding challenges.
The Senate’s commitment to improving the funding and operational capacity of the FRC signals a renewed focus on fiscal discipline and financial transparency. Lawmakers stressed the importance of empowering agencies like the FRC to effectively monitor and compel compliance by revenue-generating bodies, ensuring that Nigeria maximizes its financial resources for development.
The proposed amendment to the Fiscal Responsibility Act is also expected to introduce stricter measures for ensuring compliance by government-owned enterprises, a move that lawmakers believe will bolster accountability in public finance.
As the Senate deliberates on the 2025 budget, stakeholders are optimistic that increased funding for the FRC will enable the Commission to fulfill its mandate, contribute to improved revenue collection, and ensure that funds meant for national development are properly accounted for.
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