Kaduna adopts treasury single account, asks banks to close other govt. accounts

The Kaduna State Government on Thursday announced its decision to commence implementation of the Treasury Single Account (TSA) framework by September 1.

As part of the process of attaining this goal, all banks that maintain the accounts of the government have been put on notice to close them and remit the balances to the Central Bank of Nigeria which will host the state’s TSA.

A statement by Samuel Aruwan, the Special Assistant, Media and Publicity, disclosed that the governor, Nasir El-Rufai, gave the directives at a meeting with officials of all banks holding the state government’s many revenue and expenditure accounts. The meeting was also attended by the Kaduna State Branch Controller of the CBN.

Mr. El-Rufai, according to the statement, explained that after the establishment of the TSA, the state government would open specified sub-accounts with the CBN and the commercial banks.

The banks present assured the governor that within five working days of receiving the formal instructions from the state government, they would close the accounts and remit the balances to the TSA.

While thanking the banks for their continued support, the governor assured them that a future session would be held to explain to the banks how the new TSA and the sub-accounts will work.

The statement also disclosed that selected revenue-holding accounts are excluded from the directive.

The government will publish needed Treasury Circulars and other instructions to give effect to these decisions.