The renewed allegations against Remita which underpins Nigeria’s Treasury Single Account (TSA) necessitate a thoughtful reflection based on foundational principles on oversight functions and fairness.
Even though legislative oversight functions as a fundamental component of democratic accountability, it requires guidance through due process principles and factual accuracy while maintaining institutional transparency.
These principles extend beyond procedural concepts and serve as essential components for maintaining sustainable governance.
Nigeria adopted the TSA in 2011 which initiated a significant change in its path toward fiscal responsibility.
The system represents one of the biggest amalgamations of government financial resources into a single structure worldwide.
After extensive assessment by the Central Bank of Nigeria (CBN), the Office of the Accountant-General of the Federation, and outside experts SystemSpecs’ local product Remita became the selected enabling platform.
Nigeria demonstrated its innovative prowess through Remita’s superior ability to handle TSA operational complexities compared to domestic and foreign competitors.
The benefits of the TSA are well documented: The TSA system has led to better financial transparency while reducing leaks and improving public financial management.
As with any system driven by technological mechanisms this platform retains areas that require enhancement, but it serves its purpose creditably well. The system has demonstrated a significant and trustworthy influence on fiscal discipline and economic reform.
Recent statements from the House of Reps Committee on Public Accounts do not dwell on performance—nor have previous—they point to significant unremitted funds related to Remita which allegedly require thorough investigation in the current context.
Media outlets report the findings were disclosed during a legislative recess before a full legislative discussion could happen.
This is not due process. When public disclosures happen rapidly without complete legislative inspection they risk breaking public confidence and damaging the enduring trustworthiness of our financial systems.
Oversight processes must operate with transparency while including all stakeholders and maintaining equity even though institutions deserve scrutiny.
Sustainable governance practices require accountability systems that oversee the execution of audits and investigations.
And any external consultants’ engaged require complete transparency about their terms of reference and payment structures including performance-based incentives.
A valid audit requires transparency through public disclosure of its parameters because praise without details contradicts public accountability principles.
By maintaining this transparency an institution or nation protects objectivity and counter possible conflicts of interest or undue influence.
The history of parliamentary scrutiny over TSA operations extends beyond this single instance. The Senate, alongside the House of Representatives, has initiated several investigations into the same platform since 2015. Each concluded without substantiating allegations of wrongdoing.
The ongoing need for vigilance needs to be balanced against the negative impact of continuous investigations that lack fresh decisive evidence on institutional morale and innovation signals.
Importantly, Remita is not a bank and thus does not function as a custodian of government funds. It is a payment processing platform, not a financial institution licensed to receive or retain public monies.
This raises legitimate concerns about the technical validity of the accusation. Singling out Remita, an entity that does not handle cash, while excluding the Central Bank of Nigeria and other deposit money banks, all of whom are integral players in Nigeria’s TSA value chain, is both misleading and questionable.
Without hastening to conclusions, one questions whether the insightful obesrvation by Dr Ngozi Okonjo-Iweala: “When you fight corruption, it fights back,” holds sway here, because it remains crucial that anti-corruption initiatives maintain fairness and avoid the appearance of being punitive.
The digital economy of Nigeria and its innovation ecosystem’s long-term sustainability depend on a regulatory framework that maintains strength but is also objective and encourages growth. Care should be taken to avoid putting indigenous technology firms in positions that could cause premature reputational damage.
The worldwide triumph of Nigerian fintech companies including Flutterwave and Paystack demonstrates how regional solutions can achieve global competitiveness.
These achievements depend upon a policy and oversight framework that values fairness, alongside investment encouragement and a supportive environment for long-term innovation.
Opaque inquiries conducted on a regular basis that appear to become media trials can restrict growth potential and establish a chilling effect throughout the industry.
In addition, the clear definition of institutional responsibilities forms an essential component of a sustainable governance system.
The idea of a legislative committee assuming debt recovery duties which have historically been the domain of regulatory bodies like the CBN leads to serious concerns about agency boundaries. Public administration depends on respecting official roles as well as checks and balances between institutions and cooperation between different government levels.
The Presidency may need to implement a balanced intervention in this scenario. The intervention would not shield any party from proper examination but instead would safeguard due process, maintain Nigeria’s institutional reputation, and sustain investor trust.
Through its role as national development guardian, the Presidency’s work is cutout to maintain consistent and constructive application of oversight mechanisms.
Nigeria must rely on more than just technological advancements to achieve sustainable reform and digital leadership. The key element is an ecosystem based on trust which includes transparent rules and equitable supervision, while supporting innovative efforts.
The House of Representatives has a responsibility to establish an oversight process that combines thoroughness with proper documentation and adherence to governance standards—or just leave systems that are not broken to pursue the revision of laws long obsolete which are affecting our national development.
The future of innovation and institutional strength depends on this essential thought process.
*BEKEME MASADE is the chief executive, CSR-in-Action, and Convener, Sustainability in the Extractive Industries (SITEI) Conference.
