Thursday, October 27, 2016

Special Status for Lagos State

For me, Lagos State does indeed qualify to receive special status and funding.
Lagos has too many federation assets in Lagos that need to be funded...Lagos State cant keep fixing the federal roads to the federal ports.
If the oil producing states earn 13% on derivation. ...then that principle should apply to VAT and Excise duties earned in Lagos and other "income" generating states.
Thr flip side to this argument is that Lagos uses those federation assets to generate revenues for the state....we can nill these out and credit the balance.
The reality is this FAAC thing is not working. There are arguments, no matter how flawed for sharing a resource like crude oil, which is really a natural resource windfall but should we really be sharing VAT? State generated VAT?
I think not
Its our problem, we can fix it

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