The government of Nigeria has commenced independent review of States financial management.
Consequently, it has appointed eight reputable accounting firms including KPMG, Ernst & Young and PWC to monitor and evaluate the implementation of the 22-point Fiscal Sustainability Plan (FSP).
The FSP specified the conditions under which 35 State Governments in June 2016 started accessing the N510 billion Budget Support Facility (BSF).
Monitoring has been ongoing by the Federal Ministry of Finance since June 2016 however, independent monitoring and verification of the States against agreed milestones under the FSP will now commence by the eight accounting firms.
The Budget Support Facility, a 12-month standby loan facility, was designed to bring immediate financial relief to State Governments and enable them meet their financial obligations; with a monthly amount of N50 Billion in the first three months and N40 Billion available for the remaining nine months to the 35 States.
The Fiscal Sustainability Plan is a 22-point reform programme which commenced in June, 2016 with requirements including increasing internally generated revenues, introduction of biometric payroll, publication of audited annual financial statements, and reduction of wastages by establishing efficiency units.