The executive governor of Lagos State, Mr. Babajide Sanwo-Olu has on Monday demanded for a one per cent share in the revenue allocation formula.
He said this during the opening event of a two-day South-West zonal public hearing on review of revenue allocation formula by the Revenue Mobilisation Allocation and Fiscal Commission, in Lagos State on Monday.
Participating at the event were other South-Western States like Ogun, Osun, Oyo, Ondo and Ekiti States.
Stating his reason, Mr. Sanwo-Olu stated that Lagos being an economic hub has directly or indirectly impacted the South-West region and the entire country with its prosperity.
He further proposed that the revenue sharing formula should be 34 per cent for Federal Government including one per cent for FCT – Abuja, 42 per cent for State Governments, 23 per cent for Local Governments and one per cent given to Lagos State, due to its special status.
This proposed revenue sharing formula negates the current revenue allocation formula, which were 52.68 per cent, 26.72 per cent and 20.60 per cent for Federal Government, 36 state governments and 774 local governments respectively.
He said, “I should say that it will actually be unfair to expect the state to bear this heavy burden on its own. It is therefore necessary to give due consideration to all the variables that support our advocacy for a special status.
“The call for a special status for Lagos is not a selfish proposition; it is in the best interest of the country and all Nigerians, for Lagos which accounts for about 20 per cent of the national Gross Domestic Product and about 10 per cent of the nation’s population to continue to prosper.”
On the issue of the proposed revenue sharing formula, The Chairman, RMAFC, Elias Mbam, said it would consult with the six zones in the country on how to review revenue allocation formula.
He said the zonal public hearing would also be replicated in the other five geopolitical zones.