Vice-President Yemi Osinbajo on Monday said the Federal and State governments need N700bn monthly for payment of salaries, statutory transfers and debt servicing.

Osinbajo said this in Abuja at the opening session of a two-day national workshop on alternative sources of revenue generation for sustainable development in states and local councils in Nigeria.

Represented by the Minister of Finance, Kemi Adeosun, Osinbajo said this has made the government find alternative sources of income.

He said, “The President Muhammadu Buhari-led administration is working to achieve inclusive and sustainable growth after a period of declining revenue earnings as a result of the twin impact of falling oil prices and production volumes.

“Over the years, our over-reliance on statutory transfers from the Federation Account has resulted in the unsustainable culture where 36 state commissioners of finance come to Abuja every month to collect their share of revenue derived from crude oil.”

The vice president added, “In the period of high prices, we saw the FAAC distribute revenue as high as N909bn in June 2014 for example, but by the same month in 2016, the FAAC allocation was N302bn.

“This is bearing in mind that the minimum amount required to cover monthly salaries, statutory transfers and debt service is N700bn.”

Azeez