The Federation Account Allocation Committee (FAAC), on Thursday shared ₦1,152.756 trillion to the Federal, States and local government councils as Federation Allocation for the month of February, 2024 from a gross total of N2,326.148 trillion.
The Minister of Finance and Co- ordinating Minister of the Economy, Wale Edun, presided over the FAAC meeting which held at his ministry’s headquarters in Abuja, and attended by the 36 state finance commissioners, among others.
The disbursed amount and gross revenue were higher than the N1.149 trillion and N2. 068 trillion respectively posted by FAAC in the preceding month of January.
The total distributable revenue of N1,152.756 trillion was drawn from Statutory Revenue of N101.349 billion, Value Added Tax (VAT) of N428.806 billion, N15.157 billion from Electronic Money Transfer Levy (EMTL), and N607.444 billion from Exchange Difference.
From the N1,152.756 trillion shared for the month of February inclusive of Gross Statutory Revenue, Value Added Tax (VAT), Electronic Money Transfer Levy (EMTL), and Exchange Difference (ED), the Federal Government received N352.409 billion, the states received N366.950 billion, local governments got N267.153 billion, while the oil producing states received N166.244 billion as 13 per cent Derivation (Mineral Revenue).
The sum of N66.456 billion was given for the cost of collection, N856.937 billion allocated for Transfers Intervention and Refunds, while the sum of N250.000 million was saved.
Citing a communique issued at the end of the meeting, the Director, Press and Public Relations in the ministry, Mohammed Manga said in a statement that the Gross Revenue available from VAT for February 2024 was N460.487 billion, an increase from the N420.733 Billion distributed in the preceding month, resulting in an increase of N39.755 billion.
From that amount, the sum of N18.420 billion was allocated for the cost of collection and the sum of N13.262 billion given for Transfers, Intervention and Refunds.
The remaining sum of N428.806 billion was distributed to the three tiers of government, of which the federal government got N64.321 Billion, the states received N214.403 billion, and local governments, N150.082 billion.
Accordingly, the Gross Statutory Revenue of N1,192.428 billion received in the month was higher than the sum of N1,151.808 billion received in the previous month of January 2024 by N40.620 billion.
“From that amount, the sum of N47.404 billion was allocated for the cost of collection, a total sum of N843.675 billion for Transfers, Intervention and Refunds and a total of N200.000 billion saved.
“The remaining balance of N101.349 billion was distributed as follows to the three tiers of government: federal government got the sum of N7.351Billion, States received N3.729 billion, while the sum of N87.394 billion was allocated to LGCs as Derivation (13% Mineral Revenue).
“Also, the sum of N15.789 Billion from Electronic Money Transfer Levy (EMTL) was distributed to the three (3) tiers of government as follows: the Federal Government received N2.274 Billion, States got N7.578 billion, local government councils received N5.305 billion, while N0.632 billion was allocated for Cost of Collection,” the statement said.
It also disclosed that N657.444 billion from Exchange Difference, the federal government received N278.463 billion, states got N141.240 billion, while the sum of N108.891 billion was allocated to local government councils.
The sum of N78.850 billion was disbursed as 13 per cent Derivation while N50 billion was saved.
Petroleum Profit Tax (PPT), Value Added Tax (VAT), Import Duty, Excise Duty and Customs External Tarif levies (CET) increased significantly, while Oil and Gas Royalties increased marginally.
Wale Edun