Cross River Receives Low Federal Allocation in February

Office of the SSA to Governor Ayade on Mobilization and Enlightenment

March 20, 2019

Fiscal Federalism is a veritable tool for meeting public financial needs in a federation like Nigeria.

Several revenue allocation committees and formulae have been constituted and devised to come up with a suitable means of correcting the imbalances in the revenue Sharing. However, none has, over the years, meet the demands of Nigeria.

Among the general principles that govern revenue sharing in Nigeria, which include population, level of development, contribution to national income and derivation, the Federal Government of Nigeria seems to pay more attention to the principle of derivation.

The fact is apparent in the February, 2019 allocation which left Cross River State with a meagre N2.7biilion, second to the least of all the 36 states.

It is an established fact that 76 oil wells have been ceased from Cross River State, denying the state of revenues accruing from derivation. However, Cross River State cannot, among other states of the Federation, be adjudged the least in terms of other criteria.

Then, one is pushed to ask several questions in this regard. One of such questions is what has Cross River done to deserve this treatment? 

Governor Ayade has been putting his best to ensure that Cross State is not left behind in terms of development. He does not not owe salaries; he is building factories and has awarded several road projects which are under construction.