ABUJA, JANUARY 21, 2017 – The Federation Account Allocation Committee (FAAC) yesterday shared the sum of N400 billion for the three tiers of government.
The amount was N56.260 billion more than N386.876 billion shared in the preceding month. The amount shared consisted of N224.883 billion from the statutory Federation Account shared for the month; N42.998 billion from the excess Petroleum Profit Tax (PPT) Account; N52.846 billion from the exchange gain; and N26.636 billion from Value Added Tax (VAT). The sum of N6.330 billion was refunded by NNPC to the Federal Government.
Presenting the communiqué at the end of the FAAC monthly meeting in Abuja, the Chairman of FAAC and Minister of Finance, Mrs. Kemi Adeosun, attributed the increase in the revenue shared for the month to increase in crude oil price during the period under review.
However, Adeosun said there was revenue decline of $65.40 million in the Federation Account export sales due to a drop in crude oil export volume of 1.390 million barrels.
“The Force Majeure declared at Forcados, Qua Iboe and Brass Terminals remained in place in the period under review and regretted that the Federation revenue was negatively affected by several Shut-in and Shut-down of pipelines for repairs and maintenance due to leakages and sabotage,” she said.
The Minister said however, that the collection from Royalties increased significantly in the same period in view while increases in companies Income Tax (CIT) and VAT were marginal.
A breakdown of the allocation showed that Federal Government received a total of N117.177 billion; the states got N91.695 billion while the Local Governments received the sum of N99.904 billion.
The sum of N26.636 billion was paid to the oil producing states in the Niger Delta as 13 per cent derivation on oil revenue. The Minister disclosed that the Excess Crude Account currently stands at $2.457 billion.
Fielding questions from newsmen at the end of the meeting, the new chairman of Commissioners Forum, Yunusa Mamood of Adamwa State, pledged to support the Federal Government in its effort to revive the economy from recession.
