In order to properly classify receipts and ease reconciliation inflows into the Treasury Single Account (TSA), the federal government has directed that with effect from October 1, 2017, all banks must ensure mandatory use of the Government Integrated Financial Management Information System (GIFMIS) Revenue Reference Numbers (RRN) at the point of revenue collection into the TSA.
Therefore, the Central Bank of Nigeria (CBN), in a letter that was signed by its Director, Banking and Payment System Department, Mr. Dipo Fatokun, a copy of which was posted on its website, urged all banks to ensure compliance.
GIFMIS is an IT-based system for budget management and accounting that is being implemented by the federal government to improve public expenditure management processes, enhance greater accountability and transparency across Ministries, Departments and Agencies (MDAs).
The central bank stated that the Office of the Accountant General of the Federation (OAGF) had introduced the GIFMIS revenue reference number for all revenue collected on behalf of MDAs for federal government through the Remita platform into the TSA.
It explained: â€œAs part of efforts to boost revenue allocations, the federal government mandated the use of electronic means for all its revenue inflows into the TSA.
â€œIn order to properly classify receipts and ease reconciliation, the Office of the Accountant General of the Federation (OAGF) has now introduced GIFMIS revenue reference number for all revenue collected on behalf of MDAs for federal government through the Remita platform into the TSA.â€
However, it pointed out that the federal government noticed that the use of GIFMIS revenue reference number was not being adhered to, thereby making it almost impossible for OAGF to reconcile revenue collected to the TSA.
â€œWith effect from October 1, 2017, all deposit money banks are to ensure mandatory use of the GIFMIS revenue reference numbers at the point of revenue collection into the TSA.
â€œThe GIFMIS RRN shall be provided by the respective MDAs to the revenue payer, to enable them remit the funds.
â€œYou may wish to note that the OAGF has issued a Treasury Circular dated May 17th, 2017, to all MDAs in that regard and also concluded sensitisation,â€ it added.
GIFMIS was designed to make use of modern information and communication technologies to help the federal government plan and use its financial resources more efficiently and effectively. It would cover the entire financial management cycle including: budget preparation and execution; treasury management and reporting; general ledger and financial reporting; procurement, among others.
All federal government spending units including the missions abroad would be linked to GIFMIS.