Akwa Ibom state governor have raise alarm over the reduction in its state allocation by the Federal Account Allocation Committee (FAAC).
This was disclosed by Udom Emmanuel, the governor of Akwa Ibom state in a tweet dated Tuesday, 31 July 2018.
“They have dropped the allocation of my state by N6.8 billion, all in the name of politics, that is what is going on,” Udoma tweeted.
Meanwhile, attempt by BusinessDay to obtain the totally amount allocated to the various states in July 2018 proved abortive, considering the FAAC report scheduled to be publish by the National Bureau of Statistics (NBS) on 20th of July 2018 was delayed and as at the time of this report was yet to be reported by NBS.
When BusinessDay contacted the Nation’s Bureau for the July FAAC figures it said “we are still working on them. It will be published within next week.”
Although the net amount shared to the Land of promise in May of 2018 stood at N4.6 billion, as compiled from the NBS FAAC report fro that month.
Read also: Jean-Marc Cordier joins NNPC Trading
While according to the figure released by FBNQuest Capital, the revenue available for sharing by the Federal, States and Local Governments in July declined by N32billion.
Thus, it said N669 billion (from May revenues) was distributed by FAAC to all tiers of government, compared to the N701billion shared in May.
The research arm of FBN Holdings said officials from the federal ministry of finance shared even less information than usual after the meeting of the committee.
Meanwhile, FAAC’s disbursement of funds for the month of June to the three tiers of governments was delayed due to disagreement over the contributions to the federation account by revenue generating agencies including the Nigeria National Petroleum Corporation (NNPC).
If not for the delay which distorted June pay out, at this point in the month, the sharing details of the distribution of June revenues would have been the addressing matter.
However, on the reason why FAAC made a pay out for the month of July, even though the underlying disagreement has not been resolved, FBNQuest said it was only made because of the hardship caused by the delay.
“Notably over the payment of salaries to government employees at all tiers, as most state governments are struggling to pay their personnel with regular monthly FAAC distributions.”
According to Kemi Adeosun, the Minister of Finance, the implication of the deadlock was that some states could face delay in payment of workers’ salaries.
“Also in my capacity as the Chairman of FAAC, I briefed the Governors on the deadlock that we have got currently in the Federation Account and explained what happened.
