₦10.4tn Subsidy Savings: NECA Challenges States, LGs to Account for Funds

The Nigeria Employers’ Consultative Association (NECA) has called on state and local governments to publicly account for the ₦10.4 trillion they received from resources generated following the removal of the petrol subsidy.

NECA Director-General, Adewale-Smatt Oyerinde, made the call during an interview on Channels Television’s Sunrise Daily on Thursday.

His comments followed the disclosure by the Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, that the removal of the petrol subsidy generated ₦15.8 trillion for the Federation between June 2023 and December 2025.

How the ₦15.8tn Was Shared

According to Oyedele, the Federal Government received ₦5.4 trillion, while ₦10.4 trillion was distributed to state and local governments through the Federation Account.

Oyerinde said the disclosure should now prompt state governments to provide Nigerians with clear information on how the funds were spent.

He particularly urged state commissioners for finance to publish details of the amounts received and the projects or programmes funded with the money.

“Absolutely. I think it should trickle down. The commissioners of finance in states, you come out and also say, this is how much we’ve received; this is how much we have spent,” he said.

NECA Wants States to Publish Their Spending

The NECA chief compared public-sector accountability to financial reporting in the private sector, where companies are expected to audit their accounts and present financial results to shareholders.

He argued that governments should adopt a similar approach by providing citizens with regular and detailed financial reports.

Oyerinde said states should disclose how much they received, the challenges they encountered and how the funds were ultimately utilised.

According to him, greater transparency would allow Nigerians to better understand how public resources are being managed.

Citizens Should Demand Accountability

The NECA director-general commended the Federal Government for making details of its finances available through the Finance Minister.

He said the disclosure could give citizens, businesses and other stakeholders more information with which to assess government performance.

Oyerinde also urged Nigerians to use the information available to engage state and local governments constructively over the management of public funds.

He stressed that development should begin at the grassroots, making transparency at the state and local government levels particularly important.

The call comes amid continuing debate over the economic impact of petrol subsidy removal and how additional revenues generated since the policy change have been distributed and utilised across the country.