The Federation Accounts Allocation Committee (FAAC) has announced its latest revenue allocation, sharing a total of N1.203 trillion among the federal, state, and local government councils (LGCs).
This allocation is comprised of statutory revenue, Value Added Tax (VAT) revenue, electronic money transfer levy (EMTL) revenue, and exchange difference revenue.
Breakdown of Revenue Allocation;
• Statutory revenue: N186.636 billion
• VAT revenue: N533.895 billion
• EMTL revenue: N15.017 billion
• Exchange difference revenue: N468.245 billion
In August, the total revenue available was N2.278 trillion, with deductions for the cost of collection amounting to N81.975 billion and total transfers, interventions, and refunds totaling N992.617 billion. Notably, the gross statutory revenue of N1.221 trillion received in August was lower than July’s N1.387 trillion by N165.994 billion.
Revenue Distribution;
• Federal government: N374.925 billion
• State governments: N422.861 billion
• LGCs: N306.533 billion
• Derivation revenue (13% of mineral revenue): N99.474 billion
From the VAT revenue, the federal government received N80.084 billion, state governments received N266.948 billion, and LGCs received N186.863 billion ¹. Additionally, the federal government received N2.252 billion from EMTL revenue, while state governments and LGCs received N7.509 billion and N5.256 billion, respectively.
Revenue Performance;
The report highlights that oil and gas royalty, petroleum profit tax (PPT), VAT, import and excise duties, EMTL, CET levies, and companies income tax (CIT) all recorded decreases ¹. The excess crude account (ECA) balance stands at $473,754.57.
Overall, this revenue allocation aims to support the country’s economic growth and development, ensuring that resources are distributed equitably among the three tiers of government.
