ABSTRACT
The study examines fiscal federalism and revenue allocation from federation account to States, with a view to determine if it is equitable and fair using state per capita allocation from 2000-2013. The purpose of the research is to determine whether there is a significant difference in the per-capita allocation to individual Nigerians in the different states of the federation. The study adopted the descriptive research design, and data were obtained from CBN statistical bulletin. Distribution tables were used for presenting federation allocation, data to the states including the per capita allocation computed. Rank correlation was used to rank the per capital allocation data, while the Kruskal Wallis test statistic was used to test the hypothesis. The finding shows that there is a significant difference in the state’s per-capita allocation computed. The study recommends that revenue allocation should be geared towards meeting the nation’s economic needs rather than focus on geopolitical and ethnocentric considerations. Emphasis should be based on revenue generating ability of the states and fiscal federalism should be upheld.
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