FAAC: FG, states, LGs shared N1.14trn in January — up by N22bn

The federation account allocation committee (FAAC) says it shared N1.14 trillion with the three tiers of government in January 2024.

The figure represents an increase of N22 billion compared to the N1.12 trillion shared in December last year.

FAAC disclosed this in a communique issued at its January meeting on Thursday.

The meeting was chaired by Wale Edun, minister of finance and coordinating minister of the economy.

According to the communique, the N1.14 trillion total distributable revenue comprised a statutory revenue of N463.07 billion, value-added tax (VAT) of N391.78 billion, electronic money transfer levy (EMTL) revenue of N15.92 billion and exchange difference revenue of N279.02 billion.

“The total revenue of N2.068 trillion was available in the month of January 2024,” the communique reads.

Out of the total revenue, the committee said deduction for the cost of collection was N78.41 billion, total transfers, interventions and refunds was N639.92 billion and savings stood at N200 billion.

The communique said the gross statutory revenue of N1.15 trillion was received for January 2024. This is higher than the sum (N875.38 billion) received in December 2023 by N276.426 billion.

FAAC further said the gross revenue available from VAT was N420.73 billion — N71.77 billion lower than the N492.50 billion available in December 2023.

However, the communique said from the N1.14 trillion total distributable revenue, the federal government received N407.26 billion, the states got N379.40 billion and the local governments were given N278.04 billion.

Also, N85.10 billion (13 percent of mineral revenue) was shared with the benefiting states as derivation revenue.

“From the N463.07 billion distributable statutory revenue, the federal government received N216.75 billion, the states received N109.94 billion and the local governments received N84.76 billion,” FAAC said.

The committee said N51.61 billion also was shared among the benefiting states as the 13 percent derivation revenue.

For distributable VAT of N391.78 billion, the FAAC said the federal government got N58.76 billion, states received N195.89 billion and N137.12 billion was transferred to the local governments.

According to FAAC, from the N15.92 billion EMTL, N2.38 billion was given to the federal government, while the states and local governments received N7.96 billion and N5.57 billion, respectively.

In addition, FAAC said the federal government received N129.35 billion from the N279.02 billion exchange difference revenue, states were given N65.61 billion, and local governments got N50.58 billion, noting that N33.48 billion was shared to benefiting states as 13 percent as derivation revenue.

According to the communique, in January, companies income tax (CIT), import duty, petroleum profit tax and oil and gas royalties increased significantly, while VAT, export duty, EMTL and CET levies decreased considerably.

FAAC said the balance in the excess crude account remained at $473.754 million.