The Federation Accounts Allocation Committee (FAAC) has allocated a total of N1.358 trillion to the Federal Government, States, and Local Government Councils for July 2024. This distribution, derived from the Federation Accounts Revenue for the same month, is intended to ensure a fair allocation of resources throughout the nation.
As per the communiqué released following the meeting, the Federal Government was allocated a total of N431.079 billion, while state governments received N473.477 billion. Local governments were granted N343.703 billion, and oil-producing states obtained N109.816 billion.
The N1.358 trillion total distributable revenue is composed
of N161.593 billion in distributable statutory revenue, N582.307 billion in
distributable Value Added Tax (VAT) revenue, and N18.818 billion from the
Electronic Money Transfer Levy (EMTL). Furthermore, the revenue includes
N581.710 billion from Exchange Difference revenue and N13.647 billion from
Solid Mineral revenue.
The FAAC communiqué also indicated that the total revenue
available in July 2024 was N2.613 trillion. After accounting for the collection
cost of N99.756 billion, the total transfers, interventions, and refunds
amounted to N1.155 trillion. The gross statutory revenue for July 2024 was
reported at N1.387 trillion, reflecting a decrease of N45.517 billion compared
to June 2024. In terms of Value Added Tax (VAT), N625.329 billion was generated
in July 2024, marking an increase of N62.644 billion from the previous month.
From the total distributable revenue of N1.358 trillion, the
Federal Government received N431.079 billion, while State Governments were
allocated N473.477 billion. Local Government Councils received N343.703
billion, and oil-producing states were granted N109.816 billion as derivation
revenue, which constitutes 13% of mineral revenue. In the breakdown of the
distributable statutory revenue of N161.593 billion, the Federal Government
received N58.545 billion, while State Governments were allocated N29.69 billion.
Concerning the distributable Value Added Tax (VAT) revenue
amounting to N582.307 billion, the Federal Government received N87.346 billion,
while the State Governments were allocated N291.154 billion, and the Local
Government Councils received N203.807 billion. Additionally, the revenue from
the Electronic Money Transfer Levy (EMTL), totaling N18.818 billion, was
distributed as follows: the Federal Government received N2.823 billion, the
State Governments received N9.409 billion, and the Local Government Councils
received N6.586 billion.
In the breakdown of the N581.710 billion Exchange Difference
revenue, the Federal Government obtained N276.110 billion, the State
Governments received N140.047 billion, and the Local Government Councils were
allocated N107.970 billion. Furthermore, the benefiting states received N57.583
billion as derivation revenue.
Regarding the N13.647 billion Solid Mineral revenue, the
Federal Government received N6.255 billion, the State Governments received
N3.172 billion, and the Local Government Councils received N2.446 billion, with
the benefiting states also receiving N1.774 billion as derivation revenue.
The comprehensive report indicated fluctuations in various
revenue streams. Notable increases were observed in Oil and Gas Royalty,
Petroleum Profit Tax (PPT), Value Added Tax (VAT), Import Duty, Electronic
Money Transfer Levy (EMTL), and CET Levies, whereas Companies Income Tax (CIT)
experienced a decline, and Excise Duties saw a slight increase.
Despite these revenue allocations, the balance in the Excess
Crude Account (ECA) remained stable at $473,754.57. This recent distribution of
funds from the Federation Accounts Revenue is intended to enhance development
and stimulate economic growth across the different levels of government in
Nigeria.