FG Rakes in N11.645bn From Electronic Money Transfer in February as FAAC Shares N722bn to LGs, States

FG Rakes in N11.645bn From Electronic Money Transfer in February as FAAC Shares N722bn to LGs, States

  • The Federation Account Allocation Committee disbursed about N722.677 billion to the three arms of government in February
  • A Communique by FAAC stated that the amount was revenue accrued from various sources to the country
  • FAAC said the N722.677 billion total distributable revenue comprised of distributable statutory revenue

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The Federation Account Allocation Committee (FAAC) has disbursed about N722.677 billion to the Federal and state governments.

The development was stated in a communique issued at the end of the FAAC meeting in Abuja on Wednesday, March 22, 2023.

FAAC, allocations, State, FG and LGs
President Muhammadu Buhari Credit: State House
Source: Facebook

February saw less revenue than January

The Communique said the funds came from federation earnings for February.

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It said:

“The N722.677 billion total distributable revenue comprised distributable statutory revenue of N366.800 billion, distributable Value Added Tax (VAT) revenue of N224.232 billion, Electronic Money Transfer Levy(EMTL) of N11.645 billion and N120.000 billion Augmentation from Forex Equalisation Account.”

The total deductions for February were N27.449 billion, the total deductions for the cost of the collections were N27.449 billion, and the total deductions for transfers, savings, recoveries, and refunds were N109.909 billion.

The Excess Crude Account (ECA) balance was $473,754.57 million.

Of the total disbursal income of N722.677 billion, the Nigerian government received N269.063 billion, state governments received N236.464 billion, and local governments received N173.936 billion.

Oil-producing states shared N43.214 as 13% derivation.

The country received N87.106 billion as gross statutory revenue for February.

The amount was less than N653.704 billion received in January by about N166.598 billion.

Value Added Tax (VAT) accruals stood at N240.799 billion, less than N250.009 received in January.

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The Nigerian government received N33.635 billion, states received N112.116 billion, and the local governments received N78.481 billion from the N224.234 billion shareable revenue.

From the N11.645 billion generated from Electronic Money Transfer Levy, the federal government received N1.747 billion, states received N5.822 billion, and LGs received N4.076 billion.

From the N120 billion generated from the Augmentation account, the Nigeria Government received N54.998 billion, states received N27.896 billion, and LGs received about N21.506 billion.

States with mineral resources received about 13% derivation.

The communiqué said in February, Petroleum Profit Tax (PPT), Companies Income Tax (CIT), Oil and Gas Royalties, and Import and Excise Duties dropped significantly while Value Added Tax (VAT) and Electronic Money Transfer Levy (EMTL) decreased marginally, Vanguard reports.

Lagos, Kano lead states in Nigeria with highest local government allocations as FG shares N2.02trn to LGs

Legit.ng reported that in 2022, local government areas in Nigeria received about N2.02 trillion from federal allocation disbursement.

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The development comes as local councils in Lagos, Kano, Oyo, Katsina, and Rivers states earned the highest allocations for 2022. Local council areas in the five states received 24.83%, about N500 billion of the total budget.

Bayelsa, Gombe, Ebonyi, Nasarawa, and Ekiti states saw local government areas with the lowest allocations for last year.

Source: Legit.ng

Authors:
Pascal Oparada avatar

Pascal Oparada (Business editor) Pascal Oparada is a Mass Communications Graduate from Yaba College of Technology with over 10 years of experience in journalism. He has worked in reputable media organizations such as Daily Independent, TheNiche newspaper, and the Nigerian Xpress. He is a 2018 PwC Media Excellence Award winner. Email:pascal.oparada@corp.legit.ng

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