Nigeria: Three tiers of govt share N722b in April, as excess crude account rises to N5.27b
WorldStage Newsonline—Nigeria’s Federation Accounts Allocation Committee (FAAC) on Wednesday night shared N721.51 billion among the three tiers of government for April while N89.74 billion was added into the Excess Crude Account.
The April allocation decreased by N9.628 billion or 1.3 per cent against the N731.133 billion shared in March.
A breakdown of the distributions showed that N531.332 billion was shared from statutory sources, N54.571 billion and N92.436 billion were allocated to the governments from Value Added Tax (VAT) and the augmentation sources. The augmentation was due to shortfall in projected revenues for the month.
Others distributions include, N35.549 billion to the Subsidy Reinvestment and Empowerment Programme while N7.617 billion was shared as part of the debt owed the Federation Accounts by the Nigerian National Petroleum Corporation.
From the statutory revenues, the Federal Government got N246.90 billion or 52.68 per cent compared to states' N125.124 billion or 26.72 per cent and local governments' N96.466 billion.
From the VAT accruals, the Federal Government got N7.85 billion representing 15 per cent while the 36 states N26.194 billion or 50 per cent of the VAT distributions. The local governments shared the balance of N18.336 billion, representing 35 per cent of the months collections.
In addition, the sum of N59.152 billion was shared by the oil producing states based on the 13 per cent principle of derivation.
Speaking with journalists after the meeting, the Minister of State for Finance, Dr Yerima Ngama, said N89.738 billion was transferred to the Excess Crude Account bringing the balance to $5.27 billion.
He said, the gross revenue of N621.07 billion for the month was higher than the N595,70 billion grossed in the previous month by N25.362 billion and attributed the increase to earnings from Domestic Crude and Petroleum Profit Tax.
Ngama, however, said the challenges of production and lifting operations in the upstream sub-sector of the oil and gas sector experienced in the previous month persisted in the month under review.