The federal government, states, and local governments in Nigeria shared a total of N1.203 trillion in revenue generated for August 2024, according to the Federation Accounts Allocation Committee (FAAC).
The revenue distribution was announced following the committee’s September meeting in a statement by the Director of Press and Public Relations at the Office of the Accountant-General of the Federation, Bawa Mokwa, on Tuesday.
It comprises several income streams, including statutory revenue, Value Added Tax (VAT), and the Electronic Money Transfer Levy (EMTL).
The breakdown of the distributable revenue reveals that N186.636 billion came from statutory sources, while VAT contributions amounted to N533.895 billion. The EMTL added N15.017 billion, with a significant N468.245 billion attributed to exchange rate differences.
The communiqué issued by FAAC highlighted that total revenue available for August stood at N2.278 trillion. However, after deductions for the cost of collection (N81.975 billion) and transfers, interventions, and refunds (N992.617 billion), the distributable sum stood at N1.203 trillion.
The gross statutory revenue for August 2024 was N1.221 trillion, representing a drop of N165.994 billion compared to July’s figure of N1.387 trillion. Similarly, VAT collections in August were down by N51.988 billion from July, amounting to N573.341 billion.
In terms of the distribution, the federal government received N374.925 billion, while the states secured N422.861 billion. Local governments were allocated N306.533 billion, with N99.474 billion distributed to oil-producing states as derivation revenue, accounting for 13% of mineral revenues.
From the statutory revenue of N186.636 billion, the federal government claimed N71.624 billion, with the States receiving N36.329 billion and local governments N28.008 billion.
Oil-producing states also benefited from a further N50.675 billion in derivation.
From the N533.895 billion VAT pool, the federal government took N80.084 billion, the states received N266.948 billion, and the local governments were allocated N186.863 billion.
Additionally, from the N15.017 billion EMTL, the federal government obtained N2.252 billion, while N7.509 billion went to the states and N5.256 billion to the local governments.
The N468.245 billion from exchange rate differences was shared as follows: the federal government received N220.964 billion, the states N112.076 billion, and the local governments N86.406 billion. Oil-producing states received a further N48.799 billion from this revenue source.
The report also noted a decline in revenues across several key sectors, including oil and gas royalty, Petroleum Profit Tax (PPT), VAT, Import and Excise Duties, EMTL, Common External Tariff (CET) levies, and Companies Income Tax (CIT).
As of August 2024, the balance in Nigeria’s Excess Crude Account (ECA) stood at a modest $473,754.57.
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