Government Gets Extra ₦10 Billion As FAAC Distributes ₦1.15 Trillion To Federal, States, LGAs For February 2024

The amount gotten by the three tiers of government from the Federation Account Allocation Committee (FAAC), went up by ₦10 billion for the month of February 2024.

Naija News reports the federal, state, and local governments got a collective sum of ₦1.15 trillion for the period under review.

This was disclosed in a communique issued by FAAC on Thursday during its March meeting, which was chaired by the Minister of Finance and Coordinating Minister of the Economy, Wale Edun.

According to the communiqué, the ₦1.15 trillion total distributable revenue comprised distributable statutory revenue of ₦101.34 billion, distributable value-added tax (VAT) revenue of ₦428.80 billion, electronic money transfer levy (EMTL) revenue of ₦15.15 billion and exchange difference revenue of ₦607.44 billion.

“Total revenue of ₦2,326.149 billion was available in the month of February 2024. Total deduction for cost of collection was ₦66.456 billion; total transfers, interventions and refunds was ₦856.937 billion and savings was ₦250.000 billion,” FAAC said.

“Gross statutory revenue of ₦1,192.428 billion was received for the month of February 2024. This was higher than the sum of ₦1,151.808 billion received in the month of January 2024 by ₦40.620 billion.

“The gross revenue available from the Value Added Tax (VAT) in February 2024 was ₦460.487 billion. This was higher than the ₦420.733 billion available in the month of January 2024 by ₦39.755 billion,” the communique said.

The FAAC communique further explained that out of the ₦1.15 trillion total distributable revenue, the federal government was given ₦352.40 billion, the state governments received ₦366.95 billion and the local governments got ₦267.15 billion.

Also, the committee said a total sum of ₦166.24 billion was distributed to relevant states as 13 percent derivation revenue.

“From the ₦101.349 billion distributable statutory revenue, the Federal Government received ₦7.351 billion, the State Governments received ₦3.729 billion and the Local Government Councils received ₦2.875 billion. The sum of ₦87.394 billion (13% of mineral revenue) was shared to the benefiting States as derivation revenue,” FAAC said.

“The Federal Government received ₦64.321 billion, the State Governments received ₦214.403 billion and the Local Government Councils received ₦150.082 billion from the ₦428.806 billion distributable Value Added Tax (VAT) revenue.”

FAAC said from the ₦15.15 billion EMTL, the federal government got ₦2.27 billion; the state governments were given ₦7.57 billion; and the local governments received ₦5.30 billion.

Meanwhile, out of the ₦607.44 billion exchange difference revenue, FAAC said the federal government received ₦278.46 billion, the state Governments got ₦141.24 billion, and the local government received ₦108.89 billion; while ₦78.85 billion was shared to benefiting states as 13 percent derivation revenue.

Furthermore, the committee said in February 2024, petroleum profit tax (PPT), import duty, excise duty, VAT and CET levies increased significantly.

According to the communique, while oil and gas royalties increased marginally, companies income tax (CIT) and EMTL recorded considerable decreases.

FAAC noted that the balance in the excess crude account (ECA) amounted to $473,754.57.