The ₦20 Trillion Drain: Agbakoba Flags 5,000 Accounts Sabotaging Nation’s Economy

By Omoyeni Ojeifo

Dr. Olisa Agbakoba (SAN), former President of the Nigerian Bar Association (NBA), has raised the alarm over systemic revenue leakages that could be costing Nigeria ₦20 trillion annually.

Speaking on Arise TV on Friday, Agbakoba detailed these findings in his latest policy report, “The Federation Account of Nigeria and Infinite Possibilities: A Framework for Full Remittance and Fiscal Accountability.”

In the report, he described Nigeria’s economic situation as a “revenue paradox,” noting that despite significant increases in government earnings, fiscal outcomes have not improved.

According to the document, federation revenues rose from ₦16.8 trillion in 2023 to ₦31.9 trillion in 2024, with further increases projected.

However, it noted that Nigeria’s total public debt also climbed to ₦159.273 trillion by the end of 2025.

He emphasized that the country is still grappling with serious challenges in revenue remittance and accountability.

Agbakoba argued that the intended purpose of reforms such as the Treasury Single Account (TSA) and recent executive directives had not been fully achieved, insisting that multiple government agencies still operate in ways that obscure full transparency.

“Nobody actually knows exactly how these accounts work. The system is not functioning as intended, and there are still leakages within the federation account framework, “he said.

Agbakoba explained that while executive orders, including Executive Order 9, were meant to ensure full remittance of revenues into the federation account, agencies still make deductions for operational costs before remitting funds.

He cited the Nigerian National Petroleum Company Limited (NNPC) and other ministries, departments, and agencies (MDAs), arguing that such deductions undermine constitutional provisions.

“The issue is that MDAs deduct what they need before remittance. But under Section 162 of the Constitution, all revenues should go into the federation account and be appropriated by the National Assembly,” he said.

He further suggested that constitutional reforms may be necessary to clearly prohibit such deductions and ensure that all revenues are first remitted in full before appropriation.

Agbakoba also warned that unless Nigeria addresses what he called “fiscal defects,” the country will continue to rely heavily on borrowing despite rising revenues.

He estimated that over the past decade, Nigeria may have lost as much as ₦200 trillion due to inefficiencies and leakages in the system.

However, he clarified that his position was not an outright allegation of corruption, but rather a call for stronger fiscal discipline and constitutional clarity.

He added that improving revenue accountability could significantly reduce borrowing and strengthen Nigeria’s economic stability.

Agbakoba said fiscal accountability should become a central issue in national governance discussions ahead of the 2027 elections, stressing that presidential candidates must clearly explain how they intend to secure the country’s revenue base.