Minister of Finance & Coordinating Minister
Abuja: By Segun AJAYI
Publshed Tuesday,, March 26, 2024
THE FEDERATION ACCOUNT ALLOCATION COMMITTEE (FAAC) held its monthly meeting in February 2024 and announced the distribution of funds to the three tiers of government in Nigeria.
The meeting was chaired by the Honourable Minister of Finance and Co-ordinating Minister of the Economy, Wale Edun.
The statement was released in Abuja Tuesday and made available to thedispatch by Mohammed Manga, FCIA,
Director, Press and Public Relations
During the meeting, a total sum of N1,152.756 trillion from the gross total of N2,326.149 trillion was shared among the Federal Government, States, Local Government Councils, and Oil Producing States as the Derivation, which took13% cut from the mineral revenue.
Out of the money shared, the Federal Government received N352.409 billion, the States received N366.950 billion, the Local Government Councils got N267.153 billion, and the Oil Producing States received N166.244 billion as Derivation.
The allocation also included N66.456 billion for the cost of collection, N856.937 billion for Transfers Intervention and Refunds, and N250.000 million saved.
The Communique issued by FAAC stated that the Gross Revenue available from the Value Added Tax (VAT) for February 2024 was N460.487 billion, showing an increase of N39.755 billion from the previous month. From this amount, N18.420 billion was allocated for the cost of collection, N13.262 billion for Transfers, Intervention and Refunds, and the remaining N428.806 billion was distributed to the three tiers of government.
In terms of Gross Statutory Revenue, N1,192.428 billion was received in February, which was higher than the previous month. From this amount, N47.404 billion was allocated for the cost of collection, N843.675 billion for Transfers, Intervention and Refunds, and N200.000 billion saved. The remaining balance of N101.349 billion was distributed to the three tiers of government.
Furthermore, the allocation included N15.789 billion from the Electronic Money Transfer Levy (EMTL), which was distributed among the Federal Government, States, Local Government Councils, and for the cost of collection.
The Communique also disclosed N657.444 billion from Exchange Difference, which was shared among the Federal Government, States, Local Government Councils and for Derivation. Additionally, N50.000 billion was saved.
During the meeting, it was noted that Petroleum Profit Tax (PPT), Value Added Tax (VAT), Import Duty, Excise Duty, and Customs External Tariff levies (CET) increased significantly, while Oil and Gas Royalties increased marginally. However, Electronic Money Transfer Levy (EMTL) and Companies Income Tax (CIT) recorded considerable decreases.
The total revenue distributable for the month of February 2024 was N1,152.756 trillion, sourced from Statutory Revenue, Value Added Tax (VAT), Electronic Money Transfer Levy (EMTL), and Exchange Difference.
The Excess Crude Account (ECA) balance as of March 2024 stood at $473,754.57.
In his opening remarks at the meeting, Wale Edun, the Honourable Minister of Finance and Co-ordinating Minister of the Economy, highlighted the government's efforts to raise forex trading and the intervention program initiated by President Bola Ahmed Tinubu's administration. The program aims to make direct payments to the poorest and most vulnerable Nigerians, using the Biometric Registration and Digital Registering to ensure the system's integrity.
Edun also commended the revenue generating agencies for their hard work in increasing revenue.
No comments:
Post a Comment