FAAC Distributes ₦1.3 Trillion to Federal, State, Local Govts

The Federation Account Allocation Committee (FAAC) has distributed a total of ₦1.298 trillion among the Federal Government, State Governments, and Local Government Councils, derived from September 2024 Federation Account revenues.

In a statement released last night, Mr. Bawa Mokwa, Director of Press and Public Relations at the Office of the Accountant-General of the Federation, clarified that the distributable revenue comprised several sources. These included ₦124.716 billion from statutory revenue, ₦543.518 billion from Value Added Tax (VAT) collections, ₦18.445 billion from the Electronic Money Transfer Levy (EMTL), ₦462.191 billion from exchange rate differentials, and an additional augmentation of ₦150 billion.

The total revenue available for September 2024 amounted to ₦2.258 trillion. Deductions for collection costs stood at ₦80.993 billion, while ₦878.946 billion was allocated to transfers, interventions, and refunds.

Gross statutory revenue for September was ₦1.043 trillion, marking a decline of ₦177.426 billion from the ₦1.221 trillion collected in August. However, VAT collections saw an uptick, rising to ₦583.675 billion in September, an increase of ₦10.334 billion compared to August’s figure of ₦573.341 billion.

Out of the ₦1.298 trillion distributed, the Federal Government received ₦424.867 billion, while State Governments and Local Government Councils were allocated ₦453.724 billion and ₦329.864 billion, respectively. Additionally, ₦90.415 billion, representing 13% of mineral revenue, was allocated to oil-producing states as derivation revenue.

Breaking down the statutory revenue of ₦124.716 billion, the Federal Government received ₦43.037 billion, State Governments ₦21.829 billion, and Local Governments ₦16.829 billion. Oil-producing states received ₦43.021 billion as derivation.

Regarding the ₦543.518 billion VAT revenue, the Federal Government was allocated ₦81.528 billion, State Governments ₦271.759 billion, and Local Government Councils ₦190.231 billion.

The EMTL of ₦18.445 billion was shared as follows: the Federal Government received ₦2.767 billion, State Governments ₦9.222 billion, and Local Governments ₦6.456 billion.

From the ₦462.191 billion generated from exchange rate differences, the Federal Government received ₦218.515 billion, State Governments ₦110.834 billion, Local Governments ₦85.448 billion, and oil-producing states ₦47.394 billion as derivation.