FAAC: Disbursement to FG, states, councils declined to N860bn in March

The total amount disbursed by the Federation Account Allocation Committee (FAAC) to the three tiers of government declined from N1.03trn in February to N860.04 billion in March 2023.

The amount disbursed in April increased slightly to N872.5 billion, but remained lower compared to N1.03 trillion in February.

According to the National Bureau of Statistics report, the total amount disbursed in March comprised N487.11 billion from the statutory account, N120.00 billion from forex equalisation, N12.13 billion from Electronic Money Transfer Levy (EMTL) and N240.80 billion from Valued Added Tax (VAT).

The report which was published on Monday showed that the Federal Government received a total of N269.06billion, while states and local governments received a total of N236.46billion and N173.94billion respectively in the month of March.

In April, the amount disbursed comprised N638.67 billion from the statutory account, N15.09billion from EMTL and N218.79 billion from VAT.

Of the sum disbursed, the Federal Government received a total of N276.14 billion, while the states and local councils got N232.13 billion and N171.26 billion respectively.

The report showed that N43.21billion and N35.10 billion was shared among the oil-producing states from the 13 percent derivation fund in March and April.

“In March, revenue-generating agencies, comprising Nigeria Customs Service (NCS), Federal Inland Revenue Service (FIRS), and Nigerian Upstream Petroleum Regulatory Commission (NUPRC) received N9.03billion, N13.81billion, and N4.61billion respectively as cost of revenue collections.

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“Further breakdown of revenue allocation distribution to the Federal Government of Nigeria revealed that a total of N160.80 billion was disbursed to the FGN consolidated revenue account; N4.44 billion was received as a share of derivation and ecology; N2.22 billion as stabilisation fund; N7.45 billion for the development of natural resources; and N6.23 billion to the Federal Capital Territory (FCT),” it stated.

Similarly, the revenue-generating agencies, comprising NCS, FIRS, and NUPRC received N10.35billion, N14.64billion, and N6.36billion respectively as cost of revenue collection in April.

A further breakdown of the FAAC disbursement in April showed that a total of N166.98 billion was disbursed to the FGN consolidated revenue account; N4.62 billion was received as a share of derivation and ecology; N2.31 billion as stabilisation fund; N7.77 billion for the development of natural resources; and N6.23 billion to the federal capital territory.