How FG, States, and LGs Shares N1.36tn in July as Revenue Reaches N2.61tn
The Federation Account Allocation Committee (FAAC) has distributed N1.36 trillion to the three tiers of government for July 2024, drawn from a total revenue of N2.61 trillion.
During its August 2024 meeting, chaired by Finance Minister and Coordinating Minister of the Economy, Mr. Wale Edun, FAAC allocated funds as follows: the Federal Government received N431.1 billion, States received N473.5 billion, and Local Government Councils received N343.7 billion.
According to a statement by Mohammed Manga, Director of Information and Public Relations at the Finance Ministry, there was a notable increase in revenues from Oil and Gas Royalties, Petroleum Profit Tax, Value Added Tax, Import Duties, Electronic Money Transfer Levy, and External Tariffs, while Companies Income Tax saw a decrease. Excise Duties saw only a slight increase.
The communiqué detailed that out of the N2.61 trillion, which includes Gross Statutory Revenue, VAT, Electronic Money Transfer Levy, and N13.647 billion from Solid Mineral Revenue, the Federal Government received N431.079 billion, States received N473.477 billion, and Local Government Councils received N343.703 billion. Additionally, Oil Producing States received N109.816 billion as Derivation, representing 13% of Mineral Revenue. Costs for collection amounted to N99.756 billion, and N109.816 billion was allocated for Transfers, Interventions, and Refunds.
The communiqué also reported that VAT revenue for July 2024 was N625.33 billion, up from N562.69 billion the previous month, an increase of N62.64 billion. Of this, N25.01 billion was allocated for collection costs and N18.01 billion for Transfers, Interventions, and Refunds, leaving N582.31 billion distributed among the government tiers: Federal Government (N87.37 billion), States (N291.15 billion), and Local Government Councils (N203.81 billion).
Gross Statutory Revenue for the month was N1.37 trillion, down from N1.43 trillion the previous month by N45.52 billion. From this, N73.959 billion was allocated for collection costs, and N1.14 trillion for Transfers, Interventions, and Refunds. The remaining N161.593 billion was distributed as follows: Federal Government (N58.55 billion), States (N29.69 billion), Local Government Councils (N22.89 billion), and Derivation Revenue (N50.46 billion).
Revenue from Electronic Money Transfer Levy amounted to N19.6 billion, with the Federal Government receiving N2.82 billion, States N9.41 billion, and Local Government Councils N6.59 billion. Collection costs for this levy were N0.784 billion.
Exchange Difference revenue of N581.71 billion was distributed with the Federal Government receiving N276.11 billion, States N140.02 billion, Local Government Councils N107.97 billion, and N57.58 billion for Derivation Revenue.
Solid Mineral Revenue of N13.647 billion was allocated as follows: Federal Government (N6.255 billion), States (N3.17 billion), Local Government Councils (N2.446 billion), and Derivation Revenue (N1.77 billion).
In total, the distributable revenue for July 2024 was N1.358 trillion, including Statutory Revenue, VAT, Electronic Money Transfer Levy, Exchange Difference, and Solid Mineral Revenue. The Excess Crude Account balance as of August 2024 stands at $473,754.57.
The Finance Minister praised the FAAC for their support and encouraged continued collaboration to advance Nigeria’s economic future. He also commended President Tinubu for signing the National Minimum Wage Act into law, noting its potential benefits for all Nigerians.
