El-rufai Orders Banks To Close Govt. Accounts, Remit Balance To CBN

El-Rufai Orders Banks To Close Govt. Accounts, Remit Balance To CBN print
Published on August 6, 2015 by admin pmnews

Kaduna State Governor, Mallam Nasir El-Rufai, has directed all banks with accounts of the state government to close them.
According to El-Rufai, the decision to close the accounts was to give way for implementation of the Treasury Single Account, TSA, framework by 1 September, 2015.
The governor who further explained that the decision was part of the process of attaining this goal, said all banks that maintain the accounts of the government have not only been put on notice to close them, but have also been asked to remit the balances to the Central Bank of Nigeria which will host the state’s TSA.
A statement signed by Samuel Aruwan, the Special Assistant, Media and Publicity, said the governori gave the directives at a meeting with officials of all the banks hosting the state government’s revenue and expenditure accounts.
He said the meeting was also attended by the Kaduna State Branch Controller of the CBN.
El-Rufai explained that after the establishment of the TSA, the state government will open specified sub-accounts with the CBN and the commercial banks.
“The banks’ officials present assured the governor that within five working days of receiving the formal instructions from the state government, they will close the accounts and remit the balances to the TSA.”
While thanking the banks for their continued support, the governor assured them that a session will be organized to explain to the banks how the new TSA and the sub-accounts will work.
The statement also disclosed that selected revenue-holding accounts will be excluded from this directive.
The government will publish needed Treasury Circulars and other instructions to give effect to these decisions.



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