All over the world, resource-rich countries like Nigeria that depend on revenues from natural resources to finance annual budgets plan early to insulate themselves from  price volatility in the international market and eventual depletion of the resources. Many of these countries do so by setting up stabilization funds to save for the rainy day and for the future of the next generation.  This essentially requires a deliberate policy to set aside money earned from natural resources especially during periods of high prices to smoothen expenditure when prices fall.

The stabilization funds also protect these countries against total dependence on natural resources revenue. The essence of saving for the rainy day is that it also helps resource-rich nations to effectively address the resource curse syndrome and the moral burden of generational equity.

In Nigeria, the idea of saving a portion of oil and gas revenues for the rainy day and for the future generation began in 1989 when the Stabilisation Fund was set up.  The objective was to set aside 0.5% of revenues going into the Federation Account to support "any state of the Federation that suffers absolute decline in its revenues as a result of circumstances beyond its control.

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The three tiers of government (federal, states and local governments) shared N2.788 trillion between January and June this year, a 38% increase on the N2.019 trillion shared in the first half of 2016.

This disclosure is contained in the NEITI Quarterly Review which focuses on disbursement from the Federation Accounts and Allocation Committee (FAAC).

The review was based on data obtained by NEITI at the meetings of FAAC and data from National Bureau of Statistics, Office of the Accountant General of the Federation, Federal Ministry of Finance and the Debt Management Office.

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The on-going Independent Audit of the Oil and Gas Industry covering 2015 by the Nigeria Extractive Industries Transparency Initiative (NEITI) has recorded 94% compliance by companies and relevant government agencies. Twelve companies topped the ranking table with a maximum score of 100%. The companies are Chevron Nigeria Ltd, Consolidated, Continental, Eroton, Esso Exploration and Production Nigeria.(Erha) EEPNL, Esso Exploration and Production Nigeria(Offshore East)EEPN(OE)L , Mobil Producing Nigeria Unlimited and Niger Delta Petroleum Resources.

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Nigeria Extractive Industries Transparency Initiative (NEITI), the Nigeria Sovereign Investment Authority (NSIA) and the National Orientation Agency (NOA) have agreed to work together in the areas of oil revenue savings and promotion of better attitude to public office.

The agencies reached this agreement at separate meetings with NEITI Executive Secretary, Waziri Adio. The meetings focused on exploring areas of inter-agency mutual cooperation. Mr Adio explained that while Nigeria Sovereign Investment Authority (NSIA) manages the Sovereign Wealth Fund derived from extractive revenues, the National Orientation Agency leads national campaign for attitudinal change and ethical values in the country.

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A popular saying admonishes us not to eat with ten fingers. This axiom is not a homily about table manners. It is a metaphor about the virtue of living prudently. A more prosaic rendering willgo like this: save a portion of your earnings for the possibility of emergencies in the here and now, and for the uncertainties of the future. Or put differently, always save for the proverbial rainy day. But both poetry and prose seem to elude us.

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A quarterly meeting of the NEITI National Stakeholders Working Group (NSWG) is expected to hold in Abuja, on August 11 at the NEITI Conference room.

The Chairman of the Board and Hon. Minister of Mines and Steel Development Dr. Kayode Fayemi, is expected to preside over the meeting. In preparation for the Board Meeting, various committees set up by the board on various thematic areas of NEITI’s mandate have commenced meetings to generate reports on what has been achieved so far for possible consideration at the Board Meeting.

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A media Non-Governmental Organization - African Centre for Media & Information Literacy (AFRIMIL), has endorsed the whistle blowing policy in Nigeria as part of the ongoing fight against corruption. The organization popularly called AFRIMIL, sought the collaboration of NEITI on the policy.

The two organizations also agreed to work together in support of the whistle blowing policy and the protection of whistle blowers.

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