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From Juliana Taiwo-Obalonye, Abuja
Vice President Kashim Shettima has identified fiscal irresponsibility rather than structure of federalism as the primary cause of Nigeria’s governance challenges.
Addressing the theme,“Challenges and opportunities in Nigeria’s fiscal federalism” at the seventh edition of the LEADERSHIP Newspaper’s Annual Conference and Awards, held at the State House Conference Centre, Abuja, yesterday, he highlighted that the issues often attributed to Nigeria’s federal structure are primarily due to resource mismanagement rather than flaws in the constitution or governance framework.
“The Nigerian challenge lies less in the structure of our federalism and more in the deficit of our collective fiscal responsibility. The issue is not merely how much each federating unit accrues, but how judiciously such resources are utilised,” he said at the forum which brought together top government officials, business leaders and thought leaders.
The vice president, who was represented by his Special Adviser on General Duties, Aliyu Modibbo Umar, argued that Nigeria’s challenges are more about poor resource management than inherent flaws in the federal system.
“The problems we attribute to our federal system often stem from the poor management of what is already within our grasp, not from any inherent flaw in our constitutional architecture,” he stated.
He commended LEADERSHIP Newspaper for providing a platform where “ideas are not only exchanged but legacies shaped,” and used the opportunity to highlight ongoing reforms under the Tinubu administration aimed at deepening accountability and improving service delivery at all levels of government.
Among the key reforms, Shettima cited the push for local government autonomy as a crucial step in bringing governance closer to the people.
He lauded the Supreme Court’s recent pronouncements affirming this autonomy, describing them as a critical milestone in building a truly functional federation.
“This is how we make the federation functional: by bringing governance closer to the people,” he noted.
Drawing examples from other federations such as Canada, Germany, and Spain, Shettima warned against romanticising foreign systems, urging stakeholders to pursue a uniquely Nigerian model of federalism rooted in accountability, dialogue, and national development.
“No federal system is perfect. Every federation evolves. We must resist the temptation to prescribe imported solutions that fail to account for our distinct social, ethnic, and demographic complexities.”
He acknowledged the administration’s bold fiscal steps—including the removal of fuel subsidies and the introduction of tax reforms—as necessary measures to build a fiscally responsible federation.
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“What matters most to everyday Nigerians is not the abstract theory of federalism but whether governance delivers water, electricity, schools, roads, and hospitals.”
He also underscored the administration’s commitment to reform, particularly in advancing local government autonomy. “We have chosen the path of reform. It is bold, often difficult, but necessary,” he noted.
Shettima congratulated the award recipients at the event, calling their recognition both “a celebration and a call to duty,” and encouraging them to exemplify integrity, innovation, and impact in public and private service.
“Nigeria needs more than policy. Nigeria needs patriots—citizens, leaders, and institutions ready to be counted when it matters most,” he said.
Attorney-General of the Federation, Lateef Fagbemi, in his goodwill message, reiterated government’s pledge to uphold press freedom.
He emphasised the importance of free speech in fostering democracy.
“My presence here as Attorney-General of the Federation is a statement of the Federal Republic of Nigeria, particularly under the able leadership of President Bola Ahmed Tinubu, that we do not tamper with press freedom.”
He congratulated Leadership Newspaper for its role in addressing national issues and urged them to continue their work. “Keep the flag flying,” he said, underscoring the administration’s stated commitment to transparency and accountability.
Earlier in her opening remarks, Chairman of Leadership Group, Zainab Nda-Isaiah, urged Nigerians to strive for excellence and make the world a better place.
She emphasised that each individual has the potential to be a catalyst for change, inspiring others through their achievements and contributions.
Nda-Isaiah encouraged reflection on personal journeys and the impact one can make in their communities. “Each of us has the potential to be a catalyst for change,” she said. “Let us push boundaries and make the world a better place for future generations.”
The event celebrated outstanding leaders and organizations for their commitment to creating meaningful impacts. It served as a platform to inspire collective action towards excellence and societal improvement.
Nda-Isaiah said the awardees were an inspiration. She said, “To our awardees: you are more than recipients of prizes. You are leaders and role models whose hard work and achievements inspire us all.”
