President Muhammadu Buhari said his government is reforming the Ministry of Finance Incorporated (MOFI) to deliver on its mandate and grow Assets Under Management from N18 trillion to N100 trillion in the next 10 years.
Disclosing this via Twitter on Thursday, the President explained that MOFI will also collaborate with other MDAs to create a consolidated National Asset Register for the Federal Government’s assets.
Reasons for reform: The President said the reform will enable MOFI to operate in line with global best practices, and grow assets to N100 trillion.
- “We are reforming the Ministry of Finance Incorporated (MOFI). The old MOFI was not structured to deliver on the mandate expected of it. The new MOFI will operate in line with global best practices, as a trusted custodian and manager of the FG’s investments and assets.
- “To this end, I have charged the new Governing Council and Board of Directors, which I inaugurated yesterday, to grow MOFI’s Assets Under Management from the current value of 18 trillion Naira to at least 100 trillion Naira in the next 10 years.”
Asset register: The President added that he ensured that the Finance Ministry amended the MOFI Act and also work with other MDAs to create a National Asset register.
- “I have also directed the following: MOFI to work with other MDAs to create a consolidated National Asset Register for the Nigerian Government’s assets; Finance Ministry to ensure the amendment of the MOFI Act & other legislations, to further institutionalize this reform.”
The Governing Council is to be headed by the President, the Board of Directors led by a former Minister of Finance, Dr Shamsudeen Usman, and an Executive Management Team headed by Dr Armstrong Takang.
Buhari says he is confident that the restructured and repositioned MOFI will help Nigeria identify what we own and how to get the best out of them.
- “MOFI is now on a journey towards becoming a global investment brand, like many of its counterparts around the world.”
What you should know: The MOFI Act of 1959, now Cap. 229, Laws of the Federation, 2004, explicitly empower MOFI to enter into commercial transactions of any description on behalf of the Federal Government in its name.
MOFI was used as a Special Purpose Vehicle across different sectors to invest in commercial entities over the last 64 years, adding that MOFI was created even before Nigeria’s independence.