The Federation Account Allocation Committee (FAAC) has disbursed a total of N1.149 trillion in revenue to the Federal Government, states, and Local Government Councils (LGCs) for the month of January. This allocation, shared at the February FAAC meeting chaired by the Minister of Finance and Coordinating Minister for the Economy, Wale Edun, consisted of various revenue sources including statutory revenue, Value Added Tax (VAT) revenue, Electronic Money Transfer Levy (EMTL) revenue, and Exchange Difference revenue.
The total distributable revenue of N1.149 trillion comprised N463.079 billion from statutory revenue, N391.787 billion from VAT revenue, N15.922 billion from EMTL revenue, and N279.028 billion from Exchange Difference revenue. This total revenue was derived from a gross statutory revenue of N1.151 trillion received for January, which was higher than the previous month’s revenue by N276.426 billion.
From the total distributable revenue, the Federal Government received N407.267 billion, the state governments received N379.407 billion, and the LGCs received N278.041 billion. Additionally, N85.101 billion was shared among the benefiting states as derivation revenue from mineral resources.
The breakdown of the distribution includes N216.757 billion to the Federal Government, N109.942 billion to the state governments, and N84.761 billion to the LGCs from the distributable statutory revenue. For VAT revenue, the Federal Government received N58.768 billion, the state governments received N195.894 billion, and the LGCs received N137.125 billion.
Other components of the revenue distribution included N2.388 billion, N7.961 billion, and N5.573 billion for the Federal Government, state governments, and LGCs respectively from EMTL revenue. The Exchange Difference revenue saw the Federal Government receiving N129.354 billion, state governments receiving N65.610 billion, and LGCs receiving N50.582 billion.
In terms of tax revenue, Companies Income Tax (CIT), Import Duty, Petroleum Profit Tax, and Oil and Gas Royalties increased significantly in January, while VAT, Export Duty, EMTL, and CET Levies decreased considerably.
The balance in the Excess Crude Account was reported to be 473.754 million dollars at the end of January. This significant revenue allocation underscores the importance of effective fiscal management and accountability in sustaining Nigeria’s economic growth.
Daily Nigerian