List of Top 8 States that Can't Survive without Support from Federal Allocation

Thursday, February 10, 2022 at 8:29 AM by Nurudeen Lawal

State governments in Nigeria get the revenues to fund their recurrent and capital expenditures from federal allocations and Internally Generated Revenue (IGR).

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While some are viable enough to survive without the federal allocation, there are others who can't do with the handouts from the central government.

Nigerian Economy: 8 States that Can't Survive without Support from Federal Allocation — The Annual State Viability Index (ASVI) has shown some states that can't survive without the support from federal allocation. Photo credits: Douye Diri, Mai Mala Buni, Samuel Ortom, Adamawa State
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The Annual State Viability Index (ASVI) by Economic Confidential has shown some states that can't do with federal allocation.

According to The Cable, the ASVI l measured the viability index of states using each state’s internally generated revenue as a percentage of its federal accounts allocation for the year.

Legit.ng gathers that states with an IGR of less than 10% of their total receipts from the federal allocations are considered insolvent.

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Below are states listed as those that can not survive without federal allocation, according to the ASVI:

1. Bayelsa: 8.0%

2. Jigawa: 8.1%

3. Katsina: 8.8%

4. Adamawa: 9.1%

5. Yobe: 9.2%

6. Niger: 9.6%

7. Taraba: 9.8%

8. Benue: 9.8%

According to the report, Bayelsa state got a total of N152.54 billion as federal allocation in 2020 but only generated N12.18 billion as IGR, representing 8.0% of its total receipts from the federal account.

Jigawa state got N107 billion as federal allocation but only generated an IGR of N8.6 billion (8.1%).

President Muhammadu Buhari's home state of Katsina got N130 billion as federal allocation but made N11.3 billion IGR (8.8%).

Adamawa state with an IGR of N8.3 billion got N91 billion as federal allocation (9.1%).

Yobe state with an IGR of N7.7 billion collected N84 billion as federal allocation (9.2%) while Niger with an IGR of N10.5 billion got N109 billion as federal allocation (9.6%).

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