FAAC ends stalemate, shares N647.4bn to FG, states

The Federation Account and Allocation Committee (FAAC) meeting for March which went into a deadlock was concluded yesterday with the federal, state and local governments agreeing to share N647.390 billion.

The amount represents the supposed revenue for February, 2018, but shared in March.

Even though the three tiers agreed to share the revenue, the discrepancies noticed from the NNPC-declared revenue will still be sorted out by the Minister of Finance and the GMD, NNPC.

However, in the interim, the revenue figures presented by the office of the Accountant General of the Federation (AGF) was adopted and shared among the three tiers.

The acceptance of the figures by the members of FAAC followed interventions by the Minister of Finance, the Accountant General of the Federation, some governors and representatives of Commissioners for Finance.

The communiqué issued by a subcommittee of FAAC, Office of the Accountant General, indicates that the gross statutory revenue received for the month is N557.943bn; which is higher than the N538.908bn received in the previous month by N19.035bn.

The shared amount comprises the month’s statutory distributable revenue of N557.943bn and the Value Added Tax (VAT) of N89.447bn making up the sum of N647.390bn.

Accordingly, from Net Statutory Allocation, the Federal Government received N257.927bn representing (52.68 per cent); states received N130.824bn (26.72 per cent); local government councils received N100.860bn, representing (20.60 [per cent); while the oil producing states received N57.357bn as 13 per cent derivation revenue.

Meanwhile, the Federal Inland Revenue Service (FIRS), the Nigeria Customs Service (NCS) and the Department of Petroleum Resources (DPR) received N14.554bn as their cost of collection and FIRS refund.

Furthermore, from the revenue available from the net VAT, the Federal Government received N12.880bn (15 per cent); states received N42.935bn (50 per cent), while the local government councils cent).

The communique further explains that there was an increase in the average price of crude oil from $57.71 to $63.08 per barrel and an increase in export sales of 2.8 million barrels which resulted in increased revenue from export sales of $194.39bn.

Meanwhile, the Minister of Finance, Mrs. Kemi Adeosun, has scheduled a meeting with the GMD of NNPC to reconcile and resolve gray areas.

Briefing the media yesterday on the outcome of the re-convened FAAC meeting after Tuesday’s stalemate, Chairman of FAAC and Minister of finance, Mrs. Kemi Adeosun, said she personally engaged governors in a meeting the previous night (Tuesday) to find a way around the stalemate. received N30.054bn (35 per