Question 34
Nigerian FederalismThe Nigerian 1981 Revenue Allocation Act entitled the local governments to?
- A.20 per cent
- B.12 per cent
- C.31 per cent
- D.58.5 per cent
- E.10 per cent
Show the answer and explanation
Answer: E (10 per cent)
Explanation
The 1981 Act shared the Federation Account roughly 55% federal, 35% states and 10% local governments. Later formulas gave local governments more (now about 20%).