The Federal, states and local governments in the country have shared N648.710 billion from the revenue that accrued in September with a warning for them to maintain transparency and imbibe a saving culture for the rainy day.
The Minister of Finance, Mrs Zainab Shamsuna Ahmed, who presided over the Federation Account Allocation Committee (FAAC) meeting, Thursday, stressed the need for the three tiers of government to start saving.
A statement by Mr Paul Ella Abechi, the Special Adviser to the Minister on Media and Communications, said the Minister tasked members of the committee: “We have to save. We are not only saving for today but for tomorrow.”
A communique of the Technical Committee said “Crude oil export sales increased by 0.17 million barrels resulting in increased revenue to the Federation of $8.48 million.
“However, the average unit price dropped from $77.10 to $75.69. There was shutdown of pipelines which resulted in shut in of production at various pipelines. Revenue from Royalties increased significantly while Value Added Tax (VAT), Petroleum Profit Tax (PPT) and Companies Income Tax (CIT) decreased significantly.”
The breakdown showed that the gross revenue available from the VAT was N79.154 billion as against N114.542 billion distributed in the preceding month, resulting in a decrease of N35.388 billion.
The report also indicated that while the federal government got N277.197 billion, the state and local governments got N172.810 billion and 130.534 billion respectively. Derivation (13% of mineral revenue) amounts to N52.596 billion and cost of collection/transfer and FIRS Refund was put at N15.572 billion.
“The distributable Statutory Revenue for the month stood at N569.281 billion.
“The next FAAC meeting will hold during National Council of Finance and Economic Development (NACOFED), proposed for Wednesday, November 28, 2018 in Kaduna.”
Meanwhile, the report of the committee on the Excess Crude Account (ECA) was stepped down and withdrawn to enable the committee to rework and represent it at the next meeting.
