Buhari orders payment of soldiers, police, others on IPPS platform
The Minister of Finance, Mrs. Kemi Adeosun, disclosed this at an interactive session with the Nuhu Danburam-led ad hoc committee of the House of Representatives.
The House is probing the level of compliance in the implementation of the Treasury Single Account (TSA).
Adeosun, represented by the Accountant General of the Federation (AGF), Ahmed Idris, disclosed that the platform was used to pay the March salaries of the police commands across the country.
He said machinery has been put in place to capture the armed forces and paramilitary on the IPPS platform.
She stressed that the directive by the presidency also covers the entire Ministries, Departments and Agencies (MDAs) of government, in line with the TSA policy.
She added that the policy was in line with section 88 and 162 of the Constitution.
Adeosun further disclosed that plans are on to engage officials of TSA-operating countries to share experiences and explore avenues of strengthening it in the country.
The minister explained that the platforms deployed in the implementation of the TSA, were established to ensure seamless payment of monies into the TSA account domiciled with the Central Bank of Nigeria (CBN).
The system involves government’s Integrated Financial Management Information System (GIFMIS) and the International Public Sector Accounting Standard (IPSAS), which interface with each other.
The minister disclosed that N8.9 trillion was paid into the TSA account from 2016, when the policy came into effect, to February this year.
She stressed that TSA consolidated account balance stood at N303 billion within the period under review.
Adeosun added that no fewer than 1,674 MDA now participate in the TSA, adding that the country saves over N40 billion monthly from the implementation of the policy.
The lawmakers directed the minister to give an insight into what it cost government to run the TSA policy, and the provisions made for it in the 2018 budget.
The Director, SystemSpecs, Deremi Atanda, disclosed that the CBN engaged it in 2011, but was being owed billions of naira for services rendered in both inbound and outbound transactions.
Atanda said SystemSpecs, which is the gateway required for the TSA operation, is being owed N10 billion for outbound transactions charges, which it rendered between April 2016 and December 2017.
The committee queried government indebtedness to it, despite that the presidency endorsed the services that it renders.
It, however said they would seek synergy with the CBN to ensure equity and fairness, especially on inbound transactions charged by SystemSpecs, before negotiating terms of payment.
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