N1.41trn Shared In The First Quarter

A breakdown contained in the monthly Federation Account Allocation Committee (FAAC) report obtained by the News Agency of Nigeria (NAN) yesterday in Abuja has revealed that the federal government, 36 states and their local government areas have so far shared N1.4 trillion from the federation account, being revenue generated in the first quarter of 2017.

The key agencies that remit funds into the federation account are the Nigerian National Petroleum Corporation (NNPC), the Federal Inland Revenue Service (FIRS) and the Nigerian Customs Service (NCS).

The total revenue shared in January between the federal, states and local government was N430.16 billion, meaning that federal took N168 billion, states, N114.28 billion and local government, N85.4 billion.

The federation grossed in N514 billion in February and federal government’s share was N200.6 billion, states, N128.4 billion and local government, N96.52 billion.

However, in March, revenue generation dipped lower, grossing N466.9 billion, and from it, the federal government got N180.5 billion, state governments, N116.5 billion and local government, N87.5 billion.

The allocation was made using the revenue sharing formula, federal government, 52.68 per cent; states, 26.72 per cent and local governments 20.60 per cent.

The report showed that before distribution, state liabilities were deducted.

The liabilities paid by the states in the first quarter, included an external debt of N8.73 billion, contractual obligations of N30.15 billion and other deductions amounting to N50.23 billion.

The other deductions, covers National Water Rehabilitation Projects, National Agricultural Technology Support, Payment for Fertiliser, State Water Supply Project, State Agriculture Project and National Fadama Project.