By: ThinkBusiness Africa
Nigeria federal government has commenced a major, ambitious reform of its public finance administration, rolling out a unified digital monitoring hub and mandating the use of electronic receipts for all revenue transactions starting January 1, 2026.
The reforms, championed by the ministry of finance through the Office of the Accountant-General of the Federation (OAGF), in a series of Treasury Circulars, seen by ThinkBusiness Africa, aim to enforce strict cashless operations, eliminating revenue leakages, and improving fiscal transparency across all Federal Ministries, Departments, and Agencies (MDAs).
New digital backbone: the RevOP platform
The foundation of the digital overhaul is the newly adopted Revenue Optimization (RevOP) and Assurance Platform. The OAGF has recognized RevOP as the official, service-wide platform for end-to-end revenue optimization.
The platform is designed to:
- Ensure a harmonized and unified technology-driven ecosystem for collection across all Ministries, Departments, and Agencies (MDAs) and Federal Government Owned Enterprises (FGOEs).
- Provide unified automation of billing information, reconciliation, and treasury visibility.
- Enable automated disbursement, revenue splitting, and real-time monitoring of all Local and Foreign Currency Accounts maintained by government entities.
- Facilitate seamless integration with key financial systems, including the Treasury Single Account (TSA), as well as all revenue-collecting banks.
“Accordingly, RevOP is hereby recognized as the approved platform of the Federal Government end-to-end revenue optimization; providing unified automation of billing information, reconciliation, and treasury visibility.” OAGF said in a circular dated 27th November 2025; and signed by Dr. Shamseldeen B. Ogunjimi, Accountant-General of the Federation.
Mandatory E-receipts
To standardize and secure proof of payment, the OAGF is introducing the Federal Treasury e-Receipt (FTe-R).
According to a separate circular dated 26th November 2025, OAGF said The FTe-R will be the only mandatory and recognized proof of revenue collection for and on behalf of the Federal Government of Nigeria.
The receipt will be centrally generated on the RevOP platform under the authority and control of the OAGF. Upon generation, the FTe-R will be electronically transmitted and delivered to the payer through payment channels designated by the MDA.
“The FTe-R shall serve as the official receipt for the payer and the corresponding proof of revenue collection for the respective MDA.” The circular reads.
Issuance of the FTe-R will commence by next January.
Strict ban on cash
In a separate circular dated November 24, 2025 OAGF noted persistent violations where MDAs continued physical cash collection, despite e-payment and TSA guidelines. This trend was deemed unacceptable, as it weakens the integrity of the Federal Government’s e-collection systems.
OAGF said collection and/or acceptance of physical cash (in Naira or other currencies) for all revenues due to the Federal Government is strictly prohibited. All revenue collections must be made via electronic processing.
“This trend is unacceptable as physical cash collection negates Government policies and extant regulations; as well as weakens the integrity of Federal Government e-collection and e-payment systems.” OAGF noted.
MDAs must conspicuously display notices stating “NO PHYSICAL CASH RECEIPT” and “NO CASH PAYMENT” at all revenue collection points. MDAs currently collecting cash must deploy functional Point of Sale (POS) terminals or other approved electronic collection devices. The circular read.
No more direct deductions
The OAGF also observed that MDAs were making various deductions, including charges, fees, and commissions, at the point of collection before remitting the net amount to the TSA. This, along with deploying unauthorized portals, was cited as resulting in significant revenue leakages.
According to a circular dated November 25th, 2025, MDAs are directed to immediately stop any direct deductions. The Gross Amount of all revenues must be routed and settled directly into the designated TSA/Sub-TSA account without any deduction.
All service charges, fees, and levies are to be paid directly from the designated TSA Sub-accounts.
All portals, Payment Solution Service Providers (PSSPs), and other service providers currently engaged by MDAs must be regularized with the OAGF.
The OAGF warned that Accounting Officers will be held directly accountable for any breach of these directives. MDAs found to be non-compliant with the direct deduction policy shall have all their access on GIFMIS and TSA Sub-accounts disabled.
Context
Earlier in October, the Minister of Finance and coordinating minister of the economy, Wale Edun, said that billions of government revenues remained outside the treasury account and were not domiciled by the central bank of Nigeria (CBN).
The minister noted that the administration was working on closing fiscal leakages and improving public financial management.
“It is our determination to make sure we bring in every single penny,” “There’s federal government money lying outside the TSA, lying outside of the CBN, and it requires enforcement, consensus and the right use of technology.” Edun said
The TSA is a unified banking framework that consolidates all government payments and receipts to enhance financial control across all government MDAs.
It was introduced to improve transparency, ensure effective cash flow management, and eliminate inefficiencies from maintaining multiple accounts across financial institutions.
The latest reforms contained in the circulars is the Minister’s broader economic strategy to reduce human discretion, eliminate cash handling, enforce full audit trails, and use real-time digital insights to strengthen accountability.
