THE Federal Government has prohibited ministries, departments and agencies (MDAs) from collecting physical cash for revenue transactions, citing persistent violations of e-payment and treasury single account (TSA) policies.
The directive was announced in four treasury circulars dated November 24, issued by the office of the accountant-general of the federation, and signed by Shamseldeen Ogunjimi, the Accountant-General of the federation (AGF).
Ogunjimi expressed concern over continued physical cash collection at revenue points despite guidelines contained in earlier circulars.
He said the practice contravenes established financial regulations and weakens the integrity of the federal government’s electronic collection and payment systems.
“In view of the above, it is hereby directed that collections and/or acceptance of physical cash (in Naira or other currencies) for all revenues due to Federal Government is strictly prohibited,” the circular reads.
“All revenue collections, for and on behalf of the Federal Government must be made via electronic processing.”
