Documents from the Federation Account Allocation Committee (FAAC) have revealed state governments’ contributions to non-import VAT pool.
Agora Policy, on its X handle @AgoraPolicy highlighted the contributions of the non-import VAT pool made by the states between January and October 2024.
In the 10 months, the lowest contribution was N3.33bn (Imo) while the highest was N2.21trn (Lagos).
Within that period, four states contributed less than N10 billion; 26 states contributed between N10 billion and N50 billion; three states contributed between N51 billion and N100 billion and three states contributed above N100 billion.
The states that contributed less than N10 billion in 10 months are: Imo, N3.33 billion; Abia, N6.50 billion; Cross River, N7.17 billion and Kebbi, 7.46 billion.
The immediate neighbours of these states (in the same or adjoining zones) contributed multiples of what the four contributed.
What explains this?
Zonal patterns 1: here, we look at how this plays out in three geo-political zones (NW, SW and NE).
Zonal patterns 2: here, we look at how this plays out in three geo-political zones (SS, NC and SE).
We found some interesting patterns within some geo-political zones.
In the SW, we left out Lagos. But Oyo’s contribution amounted to 309% of what Ekiti, Ogun, Ondo, and Osun pitched in.
There is a major conglomerate in Oyo, but Ogun is also a manufacturing hub.
The case of Ekiti versus Osun and Ondo is more puzzling.
Ekiti’s contribution in 10 months was higher than what Ondo and Osun combined put in for the same period.
Ekiti has 16 LGAs while both Ondo and Osun have 48 LGAs, Ondo (18 LGAs) and Osun (30 LGAs).
Rivers and Anambra are the regional powerhouses in their zones.
While Rivers tripled the contributions of the five other SS states, Anambra almost matched the contributions of the the four other states in the SE.
Maybe this is understable but we struggle with the next chart.
This got us scratching our heads:
In 10 months, Ebonyi State contributed 96% of what Abia, Enugu and Imo states combined contributed within same period.
Ebonyi has 13 LGAs while Abia, Enugu and Imo combined have 61 LGAs.
Abia: 17 LGAs
Enugu: 17 LGAs
Imo: 27 LGAs.
Source: FAAC reports and Agora Policy’s calculation
