FAAC Shares N701 Billion To FG, States, Local Governments For April

Finance Minister, Kemi Adeosun

*Credits Excess Crude Account With N24.5 Billion

By CLEMENT NWOJI, Abuja

The  Federation Accounts Allocation Committee (FAAC) has disbursed the sum of N701 Billion to the three tiers of government: Federal, States and Local Governments.

The Permanent Secretary of the Ministry of Finance, Mahmoud Isah-Dutse who stood in for the Chairperson of FAAC, Mrs Kemi Adeosun, Nigeria’s Minister of Finance, gave the breakdown of the allocation after the Committee’s meeting.

However, he said: “based on increased revenue for the month and after due consultation, it has been decided that we will take out N24.5 billion and credit it into the Excess Crude Account.

“This brings the Excess Crude Oil Account balance to 1.11 billion dollars and the Excess Petroleum Profit Tax Account is 0.133 billion dollars”.

According to him, the breakdown is as follows, mineral revenue amounted to N411.299 billion in April, showing an increase of N50.785 billion as against N360.514 Billion recorded in March.

The non-mineral revenue also amounted to N201.339 billion in April showing an increase of N81.254 billion as against N120.085 billion recorded in March.

Further, the breakdown showed that Value Added Tax (VAT) increased from N80.35 billion in March to N83.4 billion in April.

The Permanent Secretary said the “gross statutory revenue of N613 billion received for the month was higher than the N480.59 billion received in previous month by N132.45 billion.

“Crude oil sales volume increased by 64 per cent, compared with 7.72 million barrels from the previous month, resulting in increased revenue from the Federation Crude Oil Export Sales by 226.90 million dollars.

“Also, average crude oil price increased from 65.7 dollars to 66.78 dollars per barrel.

“Performance for the month in review would have been better but for a few production shut-ins and shut-downs at various terminals for repairs and maintenance.”

Allocation to the three tiers of government showed that N276.53 billion went to Federal Government, N140.2 billion to states and N108.1 billion to local governments.

While fielding questions from Journalists, on if the States were satisfied with the current revenue sharing formulae giving increased responsibilities of States,  the Chairman of Finance Commissioner’s Forum, Mahmud Yunusa, indicated  states were planning to contest the current revenue sharing formula.

“We are clamouring for review of the revenue sharing formula because most people reside in states and local governments”, he said.