FAAC: FG, States, LGs share N462.359Bn May Allocation

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By Joseph INOKOTONG

The federation account allocation committee (FAAC) Thursday rose from its monthly meeting in Abuja and declared a total of N462.359 billion as distributable revenue for May 2017 to the Federal, States

and Local Government Councils.

The gross statutory revenue of N317.562 billion received for the month is higher than the N274.110 billion received in the previous month by N43.452 billion.

According to the FAAC, “t

he slight drop in the average price of crude oil from $55.38 to $55.18 per barrel and a decrease in export volume by 1.023 million barrels, reduced oil revenue by $57.12 million. Crude oil production suffered due to leakages, sabotage, shut-ins and shut-downs at Terminals for maintenance and the Force Majoure declared at Forcados Terminal since February, 2016 subsisted.

“There were significant increases in revenues from Companies Income Tax and Oil Royalty, however, the increase in customs and excise duty was marginal.

The distributable Statutory Revenue for the Month is N317.562 billion.

“There is a proposed distribution of N64.812 billion being the exchange rates differential. The total revenue distributable for the current Month (including VAT) is N462.359 billion.”

The shared amount comprised the Month’s Statutory distributable revenue of N317.562 billion, the gross revenue available from the Value Added Tax (VAT) was N79.985 billion as against N84.673 billion distributed in the preceding month, resulting in a decrease of N4.688 billion.

From Net Statutory revenue, Federal Government received  N147.682 billion representing (52.68%); States received N74.906 billion (26.72%); Local Government Councils received N57.750 billion representing (20.60%); while the Oil Producing States received N20.505 billion as 13% derivation revenue.

The Federal Government received N11.518 billion (15%); States got N38.393 billion (50%) while the Local Government Councils received N26.875 billion (35%).

from the revenue available from the Value Added Tax (VAT).

The balance in the Excess Crude Account stands at $2.306 billion.