Oil-producing states share N49bn derivation fund

Lagos -- The oil producing states in the country, amongst them, shared N49 billion as 13 percent derivation

fund in April 2019.

According to newly-released data, this is part of funds that accrued to the federal, state and local governments from the Federation Account during the month.

The Federal Account Allocation Committee, FAAC, disbursed the sum of N617.57 billion to the three tiers of government in April from the revenue generated in March.

The amount disbursed comprised of N446.65 billion from the Statutory Account;

N92.18 billion from Valued Added Tax, VAT; N55 billion as

Good and Value Consideration; N10 billion as additional funds from NNPC, N13.09 billion distributed as FOREX Equalisation Fund and N652.55 million exchange gain differences. The Federal Government received a total of N257.76 billion from the N617.57 billion while states received N168.25 billion and local governments, N126.58 billion.

A breakdown of revenue allocation distribution to the Federal Government revealed that N203.11 billion was disbursed to the FGN (Federal Government of Nigeria) consolidated revenue account; N4.64 billion shared as share of derivation and ecology; N2.32 billion as stabilisation fund; N7.80 billion for the development of natural resources; and N5.49 billion to the Federal Capital Territory, Abuja.

Also, the Department of Petroleum Resources, DPR, received N3.87 billion from FAAC

as cost of revenue collections in the month under review.

DPR got the lowest allocation among the Federal government's three revenue collection agencies, the others being the Nigeria Customs Service, NCS, and Federal Inland Revenue Service, FIRS.

The Nigerian Customs Service and the Federal Inland Revenue Service received N5.12 billion and N6.15 billion respectively in the month under review.