Public Funds Management in Nigeria: The Praxis and Prognosis of Treasury Single Account Policy (2015-2019)

Ogwola Idoko Robert

doi:doi:10.11648/j.ajmse.20210601.14

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Public Funds Management in Nigeria: The Praxis and Prognosis of Treasury Single Account Policy (2015-2019)

Ogwola Idoko Robert

Published in American Journal of Management Science and Engineering (Volume 6, Issue 1)

Received: 21 September 2019 Accepted: 22 October 2019 Published: 17 March 2021

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Abstract

The purpose of this paper was to evaluate the impact of implementation of treasury single account (TSA) policy on the economy of Nigeria between 2015 and 2019. Prior to the implementation of the TSA, multiple government’s bank accounts held by its numerous ministries, departments and agencies (MDAs), especially those domiciled at commercial banks were believed to be conduit pipes through which public funds were drained. The argument which analysts had so far canvassed, and which seems to enjoy broad consensus, is that the introduction and implementation of the TSA (as obtainable in other economies such as Britain, US, Australia, Sweden, Cambodia, India, Indonesia, Central African Republic and Guinea Bissau among others) was capable of eradicating or minimising public funds wastage and diversion. Some further opined that TSA has the potential to address government borrowing and maximise the opportunity cost of cash resources. This paper therefore, makes an attempt to evaluate the implementation strategy of TSA and what impacts it has wielded on the economy of Nigeria. This paper also examined whether or not TSA is a potent tool for fostering good governance, transparency and accountability in the management of public funds. The method of research employed was secondary data analysis. The findings showed that the application of TSA in Nigeria was the desire to eliminate financial and economic corruptions characterising the public service in Nigeria, and as a consequence fosters transparency and accountability in the sector. Also it was found that there are some challenges involved in the implementation of the TSA in the country, however, a number of solutions were proposed which include: Using the TSA as both fiscal and monetary policy tools to stimulate growth and development in the nation’s economy, produces and publish statement of accounts of the MDAs at periodic interval for the sake of real transparency, and the need to build synergy amongst the agencies responsible for national data generation and dissemination.

Published in	American Journal of Management Science and Engineering (Volume 6, Issue 1)
DOI	10.11648/j.ajmse.20210601.14
Page(s)	26-33
Creative Commons	This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited.
Copyright	Copyright © The Author(s), 2021. Published by Science Publishing Group

Keywords

Reinvent, Treasury, Single Account, Policy, Transparency, Accountability, Financial Management, Praxis and Prognosis

References

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[2]	CBN - Central Bank of Nigeria (2016). Guidelines for the operation of Treasury Single Account (TSA) by state governments in Nigeria, Abuja: Author; also see Sailendra, P. & Israel, F. (2010). Treasury single account: Concept, design and implementation issues, IMF Working Paper.
[3]	Ribadu, N. (2004). The role of EFCC in sanitising the Nigerian economic environment in a democratic setting. Being a paper presented at the Adamawa Economic Conference and Financial Exhibition, December 9-10, 2004. Retrieved from www.nigerianlawguru.com/articles/criminal%20law%20and%20procedure/ROLE%20OF%20EFCC.pdf
[4]	Seteolu, D. (2004). The challenge of leadership and governance in Nigeria, in Odion-Akhaine, S. (2004) Governance: Nigeria and world, Lagos: Cencod.
[5]	Raimi, L., Suara, I. B. & Fadipe, A. O. (2013). Role of economic and financial crimes commission (EFCC) and independent corrupt practices & other related offences commission (ICPC) at ensuring accountability and corporate governance in Nigeria, in Journal of Business Administration and Education, 3 (2), 105-122.
[6]	Folarin, S. (2014). Corruption, politics and governance in Nigeria. Retrieved from https://www.eprints.covenantuniversity.edu.ng/3249/1/Folarin%202.pdf
[7]	Federal Republic of Nigeria (1999). The I999 constitution (As amended). Lagos: Federal Government Publishers.
[8]	Okerekeoti, C. U. & Okoye, E. I. (2017). Treasury single account (TSA) in Nigeria: A theoretical perspective. The 2017 international conference on African entrepreneurship and innovation for sustainable development (AEISD).
[9]	GOMATAS (2017). Eight major effects of treasury single account on the economy of Nigeria (TSA). Retrieved from https://medium.com/@ggomtas/eight-major-effects-of-treasury-single-account-on-the-economy-of-nigeria-tsa-7064316d26fb
[10]	Yusuf, I. A. & Chiejina, N. (2015, August 16^th). Anti-graft war: One economy, one account. In the Sunday Nation, Pp. 9-10 &71.
[11]	Eme, O. I., Chukwurah, D. C. & Iheanacho, E. M. (2015). An analysis of pros and cons of treasury single account policy in Nigeria. In Arabian Journal of Business and Management Review (OMAN Chapter) 5 (4) pp. 21-36.
[12]	Ejiofor, R. (2017, July 29^th). TSA: Why government needs to advance FinTech agenda. Retrieved from www.vangauardngr.com/
[13]	Lawson, A. (2015). Public financial management. GSDRC. Retrieved from www.gsdrc.org
[14]	Musgrave, A. R. & Musgrave, B. P. (2006). Public finance in theory and practice (5^th Ed,). New Dehli: Tata McGraw-Hill Co. Ltd.
[15]	Salif, A. (2015, July 20). Bailout postpones the evil day, In Tell Magazine, Lagos: Tell Communications, pp. 16-19.
[16]	Ogwola, I. R. & Salifu, O. D. (2016). Internal Revenue Generation in Nigeria in an Era of Economic Recession: Contending Issues and Missing Policy Links. In The Certified National Accountant, 24 (4). Pp. 33-39.
[17]	Behrens, L. & Rosen, L. (1988). Themes and variations: The impact of great ideas. Scott, Foresman and Company.
[18]	Crowther, D. & Seifi, S. (2011). Corporate governance and international business. Retrieved from www.book.boon.com
[19]	Amadasun, A. B. (2017). Stimulating the Nigeria economy in a period of economic recession through treasury single account: Issues in missing economic policy lessons. An editorial in the certified national accountant, 24 (4) pp. 3-6.

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Ogwola Idoko Robert. (2021). Public Funds Management in Nigeria: The Praxis and Prognosis of Treasury Single Account Policy (2015-2019). American Journal of Management Science and Engineering, 6(1), 26-33. https://doi.org/10.11648/j.ajmse.20210601.14

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Ogwola Idoko Robert. Public Funds Management in Nigeria: The Praxis and Prognosis of Treasury Single Account Policy (2015-2019). Am. J. Manag. Sci. Eng. 2021, 6(1), 26-33. doi: 10.11648/j.ajmse.20210601.14

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AMA Style

Ogwola Idoko Robert. Public Funds Management in Nigeria: The Praxis and Prognosis of Treasury Single Account Policy (2015-2019). Am J Manag Sci Eng. 2021;6(1):26-33. doi: 10.11648/j.ajmse.20210601.14

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@article{10.11648/j.ajmse.20210601.14,
  author = {Ogwola Idoko Robert},
  title = {Public Funds Management in Nigeria: The Praxis and Prognosis of Treasury Single Account Policy (2015-2019)},
  journal = {American Journal of Management Science and Engineering},
  volume = {6},
  number = {1},
  pages = {26-33},
  doi = {10.11648/j.ajmse.20210601.14},
  url = {https://doi.org/10.11648/j.ajmse.20210601.14},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.ajmse.20210601.14},
  abstract = {The purpose of this paper was to evaluate the impact of implementation of treasury single account (TSA) policy on the economy of Nigeria between 2015 and 2019. Prior to the implementation of the TSA, multiple government’s bank accounts held by its numerous ministries, departments and agencies (MDAs), especially those domiciled at commercial banks were believed to be conduit pipes through which public funds were drained. The argument which analysts had so far canvassed, and which seems to enjoy broad consensus, is that the introduction and implementation of the TSA (as obtainable in other economies such as Britain, US, Australia, Sweden, Cambodia, India, Indonesia, Central African Republic and Guinea Bissau among others) was capable of eradicating or minimising public funds wastage and diversion. Some further opined that TSA has the potential to address government borrowing and maximise the opportunity cost of cash resources. This paper therefore, makes an attempt to evaluate the implementation strategy of TSA and what impacts it has wielded on the economy of Nigeria. This paper also examined whether or not TSA is a potent tool for fostering good governance, transparency and accountability in the management of public funds. The method of research employed was secondary data analysis. The findings showed that the application of TSA in Nigeria was the desire to eliminate financial and economic corruptions characterising the public service in Nigeria, and as a consequence fosters transparency and accountability in the sector. Also it was found that there are some challenges involved in the implementation of the TSA in the country, however, a number of solutions were proposed which include: Using the TSA as both fiscal and monetary policy tools to stimulate growth and development in the nation’s economy, produces and publish statement of accounts of the MDAs at periodic interval for the sake of real transparency, and the need to build synergy amongst the agencies responsible for national data generation and dissemination.},
 year = {2021}
}

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TY  - JOUR
T1  - Public Funds Management in Nigeria: The Praxis and Prognosis of Treasury Single Account Policy (2015-2019)
AU  - Ogwola Idoko Robert
Y1  - 2021/03/17
PY  - 2021
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DO  - 10.11648/j.ajmse.20210601.14
T2  - American Journal of Management Science and Engineering
JF  - American Journal of Management Science and Engineering
JO  - American Journal of Management Science and Engineering
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PB  - Science Publishing Group
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AB  - The purpose of this paper was to evaluate the impact of implementation of treasury single account (TSA) policy on the economy of Nigeria between 2015 and 2019. Prior to the implementation of the TSA, multiple government’s bank accounts held by its numerous ministries, departments and agencies (MDAs), especially those domiciled at commercial banks were believed to be conduit pipes through which public funds were drained. The argument which analysts had so far canvassed, and which seems to enjoy broad consensus, is that the introduction and implementation of the TSA (as obtainable in other economies such as Britain, US, Australia, Sweden, Cambodia, India, Indonesia, Central African Republic and Guinea Bissau among others) was capable of eradicating or minimising public funds wastage and diversion. Some further opined that TSA has the potential to address government borrowing and maximise the opportunity cost of cash resources. This paper therefore, makes an attempt to evaluate the implementation strategy of TSA and what impacts it has wielded on the economy of Nigeria. This paper also examined whether or not TSA is a potent tool for fostering good governance, transparency and accountability in the management of public funds. The method of research employed was secondary data analysis. The findings showed that the application of TSA in Nigeria was the desire to eliminate financial and economic corruptions characterising the public service in Nigeria, and as a consequence fosters transparency and accountability in the sector. Also it was found that there are some challenges involved in the implementation of the TSA in the country, however, a number of solutions were proposed which include: Using the TSA as both fiscal and monetary policy tools to stimulate growth and development in the nation’s economy, produces and publish statement of accounts of the MDAs at periodic interval for the sake of real transparency, and the need to build synergy amongst the agencies responsible for national data generation and dissemination.
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Author Information

Ogwola Idoko Robert

Department of Public Administration, Federal University, Gashua, Nigeria

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Ogwola Idoko Robert. (2021). Public Funds Management in Nigeria: The Praxis and Prognosis of Treasury Single Account Policy (2015-2019). American Journal of Management Science and Engineering, 6(1), 26-33. https://doi.org/10.11648/j.ajmse.20210601.14

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ACS Style

Ogwola Idoko Robert. Public Funds Management in Nigeria: The Praxis and Prognosis of Treasury Single Account Policy (2015-2019). Am. J. Manag. Sci. Eng. 2021, 6(1), 26-33. doi: 10.11648/j.ajmse.20210601.14

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AMA Style

Ogwola Idoko Robert. Public Funds Management in Nigeria: The Praxis and Prognosis of Treasury Single Account Policy (2015-2019). Am J Manag Sci Eng. 2021;6(1):26-33. doi: 10.11648/j.ajmse.20210601.14

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@article{10.11648/j.ajmse.20210601.14,
  author = {Ogwola Idoko Robert},
  title = {Public Funds Management in Nigeria: The Praxis and Prognosis of Treasury Single Account Policy (2015-2019)},
  journal = {American Journal of Management Science and Engineering},
  volume = {6},
  number = {1},
  pages = {26-33},
  doi = {10.11648/j.ajmse.20210601.14},
  url = {https://doi.org/10.11648/j.ajmse.20210601.14},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.ajmse.20210601.14},
  abstract = {The purpose of this paper was to evaluate the impact of implementation of treasury single account (TSA) policy on the economy of Nigeria between 2015 and 2019. Prior to the implementation of the TSA, multiple government’s bank accounts held by its numerous ministries, departments and agencies (MDAs), especially those domiciled at commercial banks were believed to be conduit pipes through which public funds were drained. The argument which analysts had so far canvassed, and which seems to enjoy broad consensus, is that the introduction and implementation of the TSA (as obtainable in other economies such as Britain, US, Australia, Sweden, Cambodia, India, Indonesia, Central African Republic and Guinea Bissau among others) was capable of eradicating or minimising public funds wastage and diversion. Some further opined that TSA has the potential to address government borrowing and maximise the opportunity cost of cash resources. This paper therefore, makes an attempt to evaluate the implementation strategy of TSA and what impacts it has wielded on the economy of Nigeria. This paper also examined whether or not TSA is a potent tool for fostering good governance, transparency and accountability in the management of public funds. The method of research employed was secondary data analysis. The findings showed that the application of TSA in Nigeria was the desire to eliminate financial and economic corruptions characterising the public service in Nigeria, and as a consequence fosters transparency and accountability in the sector. Also it was found that there are some challenges involved in the implementation of the TSA in the country, however, a number of solutions were proposed which include: Using the TSA as both fiscal and monetary policy tools to stimulate growth and development in the nation’s economy, produces and publish statement of accounts of the MDAs at periodic interval for the sake of real transparency, and the need to build synergy amongst the agencies responsible for national data generation and dissemination.},
 year = {2021}
}

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TY  - JOUR
T1  - Public Funds Management in Nigeria: The Praxis and Prognosis of Treasury Single Account Policy (2015-2019)
AU  - Ogwola Idoko Robert
Y1  - 2021/03/17
PY  - 2021
N1  - https://doi.org/10.11648/j.ajmse.20210601.14
DO  - 10.11648/j.ajmse.20210601.14
T2  - American Journal of Management Science and Engineering
JF  - American Journal of Management Science and Engineering
JO  - American Journal of Management Science and Engineering
SP  - 26
EP  - 33
PB  - Science Publishing Group
SN  - 2575-1379
UR  - https://doi.org/10.11648/j.ajmse.20210601.14
AB  - The purpose of this paper was to evaluate the impact of implementation of treasury single account (TSA) policy on the economy of Nigeria between 2015 and 2019. Prior to the implementation of the TSA, multiple government’s bank accounts held by its numerous ministries, departments and agencies (MDAs), especially those domiciled at commercial banks were believed to be conduit pipes through which public funds were drained. The argument which analysts had so far canvassed, and which seems to enjoy broad consensus, is that the introduction and implementation of the TSA (as obtainable in other economies such as Britain, US, Australia, Sweden, Cambodia, India, Indonesia, Central African Republic and Guinea Bissau among others) was capable of eradicating or minimising public funds wastage and diversion. Some further opined that TSA has the potential to address government borrowing and maximise the opportunity cost of cash resources. This paper therefore, makes an attempt to evaluate the implementation strategy of TSA and what impacts it has wielded on the economy of Nigeria. This paper also examined whether or not TSA is a potent tool for fostering good governance, transparency and accountability in the management of public funds. The method of research employed was secondary data analysis. The findings showed that the application of TSA in Nigeria was the desire to eliminate financial and economic corruptions characterising the public service in Nigeria, and as a consequence fosters transparency and accountability in the sector. Also it was found that there are some challenges involved in the implementation of the TSA in the country, however, a number of solutions were proposed which include: Using the TSA as both fiscal and monetary policy tools to stimulate growth and development in the nation’s economy, produces and publish statement of accounts of the MDAs at periodic interval for the sake of real transparency, and the need to build synergy amongst the agencies responsible for national data generation and dissemination.
VL  - 6
IS  - 1
ER  -

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