The Monetary Policy Committee (MPC) on the Central Bank of Nigeria (CBN) on Wednesday urged government entities to check its distribution of oil revenue to states, Premium Times reports.
Rather, the committee said the costa rica government should develop a savings culture to deliver the needed stability for the economy against future oil price-related shocks. The committee said the majority of oil money shared to states was growing as compared with last year. The observations were involved in the 117th communique of the re-constituted MPC issued at the end of its first meeting in 2018 in Abuja.
CBN governor, Godwin Emefiele, who look into the communique, said the committee lamented recent increasing monetization of oil proceeds as evident from the growing Federation Accounts Allocation Committee distribution to states, when compared with the 2017 level of disbursements. “The Committee urged the federal government to initiate strong stabilization programmes and also to freeze the growth in its aggregate expenditure and FAAC distributions to get savings; needed to stabilize the economy against future oil price related shocks,” he said.