Economy
Allocation to FG, States, LGAs Drops 6.2% in September 2020
By Adedapo Adesanya
The amount shared by the Federation Accounts Allocation Committee (FAAC) to the three tiers of government and relevant agencies dropped 6.2 per cent to N639.9 billion in September 2020 from N682.1 billion in August 2020.
This was disclosed in a communiqué after the physical meeting of the committee for the month of October held at the Federal Ministry of Finance headquarters, Abuja.
The meeting was the first since May due to the coronavirus pandemic and was chaired by the Permanent Secretary, Federal Ministry of Finance, Mr Aliyu Ahmed.
The total distributable revenue of N639.9 billion comprised statutory revenue of N341.5 billion; Value Added Tax (VAT) revenue of N141.9 billion; N39.5 billion from Forex Equalisation; N45 billion from Non-oil Excess Revenue and N72 billion Federal Government Intervention Revenue.
The gross statutory revenue of N341.5 billion available for the month of September 2020 was lower than the N531.8 billion received in the previous month by N190.3 billion or 35.8 per cent.
The gross revenue of N141.9 billion available from the Value Added Tax (VAT) was also 5.5 per cent lower than the N150.2 billion available in the previous month by N8.3 billion.
Giving a breakdown, FAAC indicated that from the total distributable revenue of N639.9 billion; the federal government received N255.7 billion, the state governments received N185.6 billion and the local government councils received N138.4 billion.
The nine oil-producing states received N36.2 billion as 13 per cent derivation revenue, while the cost of collection and transfers had an allocation of N23.9 billion.
It was further stated that the federal government received N161.1 billion from the gross statutory revenue of N341.5 billion; the state governments received N 81.7 billion and the local government Ccuncils received N63.0 billion.
The sum of N21.688 billion was given to the relevant states as 13 per cent mineral revenue and N13.9 billion was the total for the cost of collection, transfers, and refunds.
From the VAT, the FG received the sum of N19.8 billion from the available N141.9 billion, the 36 sub-national governments got N65.9 billion while the 774 local councils received N46.2 billion, while the cost of collection, transfers and refunds had an allocation of N9.9 billion.
From the N39.542 billion Forex equalisation revenue, the central government received N18.1 billion, the state governments received N9.2 billion, the councils received N7.1 billion and the relevant states received N5.1 billion as 13 per cent mineral revenue.
The communique confirmed that out of the N45 billion non-oil excess revenue, the federal government was given N23.7 billion, the state governments shared N12.0 billion, while the local governments got N9.3 billion.
In addition, the federal government received N32.9 billion from the N72 billion Federal Government Intervention Revenue. The states got N16.7 billion, the local councils received N12.9 billion, while the nine states had N9.4 billion as 13 per cent mineral revenue.
In terms of performances, in September 2020, Companies Income Tax (CIT) and Oil and Gas Royalty decreased significantly; Import Duty and Value Added Tax (VAT) decreased marginally, while Petroleum Profit Tax (PPT) and Excise Duty recorded increases.
The balance in the Excess Crude Account (ECA) as of Thursday, October 15, 2020, was $72.4 million.
Economy
BNB Price Reflects Changing Dynamics in the Digital Asset Market
Economy
NASD Unlisted Security Index Crosses 4,000-point Benchmark Again
By Adedapo Adesanya
The NASD Over-the-Counter (OTC) Securities Exchange achieved a milestone on Friday, April 24, 2026, after five securities on the platform helped with a 1.85 per cent growth.
Data showed that the NASD Unlisted Security Index (NSI) again crossed the 4,000-point benchmark yesterday.
The index chalked up 73.64 points during the trading day to close at 4,052.59 points compared with the preceding session’s 3,978.95 points, while the market capitalisation added N5.38 billion to finish at N2.424 trillion versus Thursday’s closing value of N2.380 trillion.
The price gainers were led by Okitipupa Plc, which grew by N25.00 to sell at N305.00 per share compared with the previous price of N280.00 per share. Central Securities Clearing System (CSCS) Plc gained N6.92 to close at N76.26 per unit versus N69.34 per unit, Afriland Properties Plc appreciated by N1.00 to N17.00 per share from N18.00 per share, FrieslandCampina Wamco Nigeria Plc improved by 55 Kobo to N99.55 per unit from N99.00 per unit, and Food Concepts Plc increased by 5 Kobo to N2.70 per share from N2.65 per share.
However, there was a price loser, MRS Oil, which dipped by N21.75 to N195.75 per unit from N217.50 per unit.
During the final session of the week, the value of securities jumped 75.2 per cent to N41.3 million from N23.6 million units, and the number of deals expanded by 62.9 per cent to 44 deals from 27 deals, while the volume of securities declined marginally by 0.9 per cent to 447,403 units from 451,522 units.
At the close of trades, Great Nigeria Insurance (GNI) Plc was the most traded stock by volume (year-to-date) with 3.4 billion units worth N8.4 billion, trailed by Resourcery Plc with 1.1 billion units valued at N415.7 million, and Infrastructure Guarantee Credit Plc with 400 million units traded for N1.2 billion.
GNI was also the most active stock by value (year-to-date) with 3.4 billion units sold for N8.4 billion, followed by CSCS Plc with 59.6 million units transacted for N4.0 billion, and Okitipupa Plc with 27.8 million units exchanged for N1.9 billion.
Economy
Naira Slips to N1,358/$1 as FX Reserves, Policy Uncertainty Concerns
By Adedapo Adesanya
It was not a good day for the Nigerian Naira in the currency market on Friday, April 24, as its value depreciated against the major foreign currencies at the close of transactions.
In the Nigerian Autonomous Foreign Exchange Market (NAFEX), it lost N4.53 or 0.33 per cent against the United States Dollar yesterday to trade at N1,358.44/$1, in contrast to the N1,353.91/$1 it was exchanged on Thursday.
Equally, the domestic currency slipped against the Pound Sterling in the official market during the session by N8.14 to close at N1,834.02/£1, compared with the previous rate of N1,825.88/£1 and dropped N8.01 against the Euro to sell at N1,590.73/€1 versus N1,582.72/€1.
Also, the Naira depreciated against the US Dollar at the GTBank FX desk on Friday by N4 to quote at N1,370/$1 compared with the previous session’s N1,366/$1, and at the parallel market, it depleted by N5 to settle at N1,380/$1 versus the preceding day’s N1,375/$1.
Data published by the Central Bank of Nigeria (CBN) indicated that NFEM interbank turnover surged to N43.562 million across 68 deals, up from N28.117 million the previous day.
Despite the CBN’s reassurance that the recent drop in external reserves is not worrisome, the market remains unsettled by persistent concerns over liquidity constraints, policy transparency, and weakening confidence in Nigeria’s FX market as gross reserves continue to decline to $48.4 billion.
The outlook for the Dollar appears supported by broader macro risks, including elevated oil prices tied to the tanker traffic disruptions in the Strait of Hormuz and a continued US-Iran standoff over ceasefire negotiations.
A look at the digital currency market showed that investors are sitting on the edge as the US Dollar rebounded amid geopolitical and inflation risks despite continued inflows into US spot bitcoin Exchange Traded Funds (ETFs).
Solana (SOL) rose by 1.2 per cent to sell $86.45, Cardano (ADA) appreciated by 1.1 per cent to $0.2517, Dogecoin (DOGE) grew by 0.9 per cent to $0.0989, Ripple (XRP) improved by 0.3 per cent to $1.43, Ethereum (ETH) soared by 0.2 per cent to $2,316.83, and Binance Coin (BNB) chalked up 0.1 per cent to sell for $637.44.
However, TRON (TRX) depreciated by 1.3 per cent to $0.3235, and Bitcoin (BTC) lost 0.2 per cent to close at $77,562.27, while the US Dollar Tether (USDT) and the US Dollar Coin (USDC) closed flat at $1.00 each.
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