Title: Treasury Single Account Policy: Legal Basis, Regulatory Framework And Implementation Challenges In Nigeria
Authors: Achanya Julius John, PhD
Volume: 10
Issue: 1
Pages: 27-38
Publication Date: 2026/01/28
Abstract:
Prior to the introduction of the treasury single account policy in 2015, public financial management in the pre-reform environment in Nigeria was known to be, inefficient, ineffective and corrupt; as it was primarily based on the financial regulations and the Constitution which lack specific provisions for TSA operations. As such, the system was characterized by weak legal, regulatory and institutional frameworks, uncoordinated revenue systems, delayed remittances, leakages and wastages, fragmented banking arrangements, embezzlement among other poor public expenditure practices. Critical among these problems was the proliferation of bank accounts by ministries, departments and agencies of government which created room for revenue diversion. Regrettably, despite the fiscal reform package, treasury management in Nigeria is still a big problem. This study sought to answer the concern raised. To pursue this objective, analysis of the study was anchored on the institutional theory and a qualitative research design involving exploratory interviews and analysis of official documents and technical reports was utilized. Twenty (20) respondents drawn from oversight institutions, MDAs and other key stakeholders within the public sector and commercial banks were interviewed and the received information was qualitatively analyzed and thematically presented. Results generated indicated that; the TSA policy has recorded some milestones in fiscal governance. However, it has struggled with some major implementation challenges rooted in both policy-driven and operational inefficiencies. Addressing these challenges requires a multifaceted strategy including a strategic recalibration of the policy backed by legislation and enforcement actions, enhanced capacity building driven by technological know-how, stakeholders' engagement, and greater inter-agency collaboration and oversight, among others.