Osun Auditor-General advocates stricter overhead controls for MDAs

The Auditor-General of Osun State, Kolapo Idris, has called for stricter oversight of overhead funding for government ministries, departments and agencies, MDAs, that fail to provide adequate financial accountability. This recommendation was made in his report on the state's accounts for the fiscal year ending December 31, 2025, during an audit forum in Osogbo.

The report highlights financial and administrative issues such as negligence by internal auditors, improper preparation of accounting documents, fictitious expenditures, and incorrect computation of statutory deductions. Idris suggested direct stoppage of overhead funding to MDAs that have not demonstrated proper accountability.

He also called for better compliance with accounting standards and strengthening the Inspectorate and Management Services Department within the Accountant-General's Office. Additionally, Idris highlighted the need for more aggressive internally generated revenue generation, particularly from the informal sector, and urged the capture of more informal sector businesses for tax collection.

Revenue collection at motor parks was another area of concern, with operators expected to remit 70% of their earnings to the state while retaining 30%. The state's total revenue for 2025 amounted to N363,628,291,927.66, while expenditures totaled N385,682,554,674.77. The Auditor-General noted a rise in internally generated revenue from N25.3 billion in 2023 to N54.7 billion in 2024.