Hauwa'u Mohammed
The Federation Account Allocation Committee (FAAC), chaired by the Honourable Minister of Finance and Coordinating Minister of the Economy, Wale Edun, announced the distribution of N1.203 trillion to the three tiers of government for August 2024. This amount was part of a gross revenue of N2.278 trillion, which includes Statutory Revenue, Value Added Tax (VAT), Electronic Money Transfer Levy (EMTL), and Exchange Difference.
According to FAAC, the Federal Government received N374.925 billion, while the states and local government councils received N422.861 billion and N306.533 billion, respectively. Oil-producing states were allocated N99.474 billion as 13% derivation from mineral revenue.
The total VAT for August was N573.341 billion, showing a drop from N625.329 billion in July. After deductions for collection costs and transfers, N533.895 billion was distributed to the three tiers of government.
Statutory Revenue for August was N1.221 trillion, down by N165.994 billion compared to July. After costs and transfers, the Federal Government, states, and local councils received N71.624 billion, N36.329 billion, and N28.008 billion, respectively, while N50.675 billion was given to oil-producing states as derivation.
Additionally, N15.643 billion from the EMTL was distributed, and N468.245 billion was shared as Exchange Difference.
The report also noted a decline in revenue from Companies Income Tax (CIT), VAT, Import and Excise Duties, and Petroleum Profit Tax (PPT).
As of September 2024, the Excess Crude Account (ECA) stands at $473,754.57.
Minister Wale Edun urged for continued collaboration and hard work, assuring that despite the economic challenges, Nigeria is being steered towards economic stability under President Bola Tinubu's administration.
