FG, States, LGs share N742bn as FAAC records first disbursement under Ahmed

The Federation Account Allocation Committee (FAAC) has shared a total of N741.84 billion to the federal, states and the local governments, the first disbursement by FAAC since the emergence on Zainab Ahmed as the new Minister of Finance.

Ahmed, who was the Minister of State for Budget and National Planning, was two weeks ago appointed by President Buhari as the supervising Minister of Finance after the resignation of Kemi Adeosun over alleged certificate forgery.

The allocation, which is N27.04 billion higher than the amount shared in the preceding month, was the amount generated in the month of August but shared in September.

Addressing newsmen on Wednesday at the end of the monthly FAAC meeting, the Permanent Secretary, Federal Ministry of Finance, Mahmoud Isa-Dutse, said the increase was due to the increase in crude oil exports sales volume, from 37.4 million barrels in July to 45.7 million barrels in August.

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According to him, the Value Added Tax, import duty, Petroleum Profit Tax increased in the month of August, while Companies Income Tax and oil royalty decreased.

Isa-Dutse, while giving a breakdown of the revenue generated, said the federal government received N274.88 billion, states N139.42 billion and local government N107.49 billion.

He said this was due to a total of N451.29 billion generated as mineral revenue, while N175.84 billion gotten as non-mineral revenue.

The permanent secretary said oil producing states got N53.03 billion, a mount which indicates 13 percent oil derivation fund from oil revenue generated in August.

He noted the increase recorded in the allocation in the month of August prompted the committee to transfer an equivalent of N40 billion into the Excess Crude Account (ECA), bringing the balance in the ECA to $2.46 billion.

 

 

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