FG, States, LGs Share N533b from Federation Account in October

By Dipo Olowookere

The sum of N532.8 billion was shared as revenue by the Federal, States and Local Governments in the month of October.

According to a statement issued by the Director Information at the Office of the Accountant General of the Federation (OAGF), Mrs Kenechukwu Offie, the gross statutory revenue received for the month was N443.045 billion, higher than the N423.961 billion received in the previous month by N19.084 billion.

The statement, released yesterday after a meeting of the sub-Committee of Federation Accounts Allocation Committee (FAAC) in Abuja, explained that the shared amount comprised the month’s statutory distributable revenue of N443.045 billion and the Value Added Tax of N89.713 billion, making up N532.758 billion.

Accordingly, from Net Statutory Allocation, the Federal Government received N205.700 billion representing (52.68%); States received N104.334 billion (26.72%); Local Government Councils received N80.437 billion representing (20.60%); while the Oil Producing States received N40.847 billion as 13% derivation revenue.

Also, Nigeria Custom Service, Department for Petroleum Resources, and FIRS got the total sum of N11.726 billion as cost of collection.

Furthermore, from the Revenue available from the Value Added Tax (VAT), Federal Government received N12.919 billion (15%); States received N43.062 billion (50%) while the Local Government Councils received N30.143 billion (35%).

It was explained that there was an increase in the average price of crude oil from $46.29 to $48.66 per barrel and a decrease in export sales of $42.94 million due to decrease in oil production by 1.25 million barrels.

It further stated that other issues which negatively affected the crude oil production were attributable to ageing facilities which resulted in shut-in and shut-down of pipelines for maintenance and for repairs.

Furthermore, significant increase was recorded in Petroleum Profit Tax while Import and Excise Duties and Value Added Tax recorded witnessed slight improvements.

However companies income tax (CIT) and Oil Royalty recorded slight decreases in the month under review.

Dipo Olowookere is a journalist based in Nigeria that has passion for reporting business news stories. At his leisure time, he watches football and supports 3SC of Ibadan. Mr Olowookere can be reached via dipo.olowookere@businesspost.ng

more recommended stories