Government Recovers N57bn from MDAs’ Debt Obligations
By Patience Ikpeme
The Federal Government has disclosed the successful recovery of N57 billion from the N5.2 trillion liabilities owed by Ministries, Departments, and Agencies (MDAs) to the Federal Inland Revenue Service (FIRS) and other entities.
This revelation was made by Mr. Okokon Ekanem Udo, the Permanent Secretary, Special Duties at the Federal Ministry of Finance, during a Sensitisation Workshop on the Federal Government Debt Recovery Drive through the Project Lighthouse Programme for the South-East geo-political zone, in Enugu state.
Mr. Udo, represented by Aisha Omar, the Ministry’s Director of Special Projects, highlighted that the recovered debts stemmed from an extensive data collection exercise covering over 5,000 debtors across more than 93 MDAs.
He noted that the debts included refunds from companies that failed to deliver on projects for which they were paid, outstanding credit facilities from institutions like the Bank of Industry (BOI) and Bank of Agriculture (BOA), as well as other unpaid obligations to government bodies such as the Pension Transitional Arrangement Directorate (PTAD).
The Permanent Secretary underscored the significance of Project Lighthouse in uncovering undisclosed debts and preventing further payment to delinquent debtors.
He expressed concern that certain companies and individuals, despite owing government agencies, were still receiving payments through platforms like GIFMIS and Treasury Single Account (TSA), due to inadequate visibility over these transactions.
“In actualising debt recovery goals, the Federal Ministry of Finance initiated Project Lighthouse, aggregating economic and financial information from multiple agencies that previously operated in silos,” stated Mr. Udo. “Through this effort, approximately N57 billion has been recovered so far from the N5.2 trillion owed, reflecting the concerted efforts of stakeholders and the Federal Government.”
Udo further emphasized the role of big data technology in identifying revenue opportunities and improving fiscal transparency, aligning with the objectives of President Bola Ahmed Tinubu’s administration.
The Ministry he said has issued directives to MDAs to consolidate all government debts across the public finance space, aiming for a comprehensive credit profile accessible through a single window.
