FG plans to review Politicians’ revenue and pay formula

The Revenue Mobilisation Allocation and Fiscal Commission (RMAFC) says it plans to review salaries of political office holders, calling current earnings inadequate, outdated, and unrealistic amid growing responsibilities and economic pressure

RMAFC Chairman Mohammed Shehu disclosed in Abuja that President Bola Tinubu earns N1.5 million monthly, while ministers earn less than N1 million — figures unchanged since 2008.

He argued that such pay levels encourage corruption, noting that some agency heads earn up to 20 times more than ministers or the Attorney-General.

Labour unions strongly opposed the proposal, insisting that the real problem lies not in official salaries but in hidden allowances that push total earnings far higher. They accused political leaders of living in luxury while millions of Nigerians struggle on low wages.

The commission also announced it has begun reviewing Nigeria’s revenue-sharing formula, unchanged since 1992. The current allocation gives 52.68% to the Federal Government, 26.72% to states, and 20.60% to local governments, with an additional 4.18% set aside for special funds.

Shehu said the new review would be inclusive and data-driven, consulting with the Presidency, National Assembly, governors, civil society, and other stakeholders. He also stressed that the commission is constitutionally restricted to determining pay for political, judicial, and legislative office holders, not civil servants.

The Nigeria Labour Congress countered that senators reportedly earn up to N30 million monthly while civil servants survive on N70,000 minimum wage, warning that increasing politicians’ pay would deepen inequality.

They argued that funds wasted on perks, foreign trips, and overseas medical care should instead be invested in local hospitals, schools, and jobs.

Finance expert Professor Uche Uwaleke urged that any extra funds for states be tied strictly to capital projects and infrastructure, while also revising allocation criteria to reward health and education efforts rather than just population size.

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