Connect with us

Finance

FAAC Allocates N400bn to FG, States, LGs

Published

on

bonds
  • FAAC Allocates N400bn to FG, States, LGs

The Federation Account Allocation Committee on Friday allocated the sum of N400bn to the three tiers of government as statutory distribution for the month of December 2016.

The amount, when compared to the N386.87bn shared in the month of November, represents an increase of N13.12bn.

Addressing journalists shortly after the FAAC meeting, which was held at the headquarters of the Federal Ministry of Finance in Abuja, the Minister of Finance, Mrs. Kemi Adeosun, said the N400bn was distributed under four sub-heads.

They are statutory allocations, where the sum of N224.88bn was allocated; Value Added Tax, N79.27bn; exchange gain, N52.84bn; and excess Petroleum Profit Tax, N42.99bn.

From the statutory allocations, the minister said after deducting the cost of collection to the revenue generating agencies, the Federal Government got N105.76bn; the states, N53.64bn; and local government councils, N41.35bn.

In addition, she said the sum of N15.5bn was given to the oil producing states based on the 13 per cent derivation principle.

For VAT allocation, the minister said the Federal Government received N11.4bn; the states, N38bn; while the local government councils got N26.63bn.

Adeosun said during the month, the sum of N248.71bn was generated as gross statutory revenue, adding that this was higher than the N240.1bn received in November by N8.59bn.

The minister stated that the balance in the Excess Crude Account currently stood at $2.45bn.

A communique issued at the end of the meeting stated that the force majeure declared at the Forcados, Qua Iboe and Brass crude oil export terminals affected revenue negatively.

For instance, it stated that there was a revenue decline of $65.4m in federation export sales due to a drop in crude oil export volume by 1.39 million barrels.

The Chairman, FAAC Commissioners’ Forum, Mahmoud Yunusa, said the states would work with the Federal Government to address the current recession in the country.

Yunusa, who is also the Commissioner for Finance in Adamawa State, said that the target of the states now was to generate enough revenue internally to pay salaries.

He gave an assurance that once this was done, whatever allocation received from the Federation Account would be used by the states for capital projects.

CEO/Founder Investors King Ltd, a foreign exchange research analyst, contributing author on New York-based Talk Markets and Investing.com, with over a decade experience in the global financial markets.

Finance

Despite COVID-19, FG Realised N1.53 Trillion from Value Added Tax in 2020

Published

on

Value added tax

Despite COVID-19, FG Realised N1.53 Trillion from Value Added Tax in 2020

The Federal Government of Nigeria has started seeing the positive effect of series of policy adjustments made to up the nation’s revenue and gradually move away from unstable oil revenue.

Nigeria generated N1.53 trillion from Value Added Tax (VAT) in 2020, an increase of 29.3 percent when compared to the N1.18 trillion posted in 2019, the National Bureau of Statistics (NBS) stated in its latest report.

According to NBS, VAT rose by 38.2 percent when compared to N1.11 trillion filed in 2018.

Breaking down the report, professional services contributed N162.32 billion during the period under review, This was followed by the manufacturing sectors with N154.15 billion.

Accordingly, non-import VAT realised expanded by 30.5 percent to N763.01 billion in 2020, against N584.6 billion in 2019.

Non-import foreign VAT grew by 17 percent from N359.5 billion in 2019 to N420.4 billion in 2020.

As expected, import VAT jumped by 44,6 percent from N240.5 billion filed in 2019 to N347.7 billion in 2020.

Despite lockdown and weak economic activities, the Federal Government through a 50 percent increment in VAT from 5 percent to 7.5 percent was able to up VAT revenue by 29.3 percent.

Continue Reading

Finance

Julius Berger Plc Pre-tax Profit Decline by 30.7 Percent in Q4, 2020

Published

on

Julius Berger pix

Julius Berger Plc Pre-tax Profit Decline by 30.7 Percent in Q4, 2020

Julius Berger Plc posted a 30.65 percent decline in pre-tax profit to N5.12 billion for the final quarter of 2020.

In the financial statements released on Tuesday, the leading construction company, reported N74.04 billion in revenue in the fourth quarter, an increase of 2.43 percent when compared to N72.29 billion posted in the same period of 2019.

Julius Berger Key Financial Highlights Q4, 2020

  • Nigeria’s revenue expanded by 4.21 percent year-on-year to N72.30 billion.
  • While Europe & Asia revenue dipped by 40.07 percent year-on-year to N1.74 billion.
  • Similarly, revenue from building works depreciated by 56.37 percent to N10.72 billion.
  • However, revenue from civil works rose by 35.38 percent from the corresponding period to N55.8 billion.
  • Services added N7.54 billion revenue, representing an increase of 15.84 percent year-on-year.
  • Cost of sales grew by 13.19 percent year on year to N60.1 billion.
  • Julius Berger recorded other gains/losses of N83.89 million.
  • The construction company grew investment income to N142.79 million.
  • Finance costs jumped by a whopping 388.99 percent year-on-year to N1.79 billion.
  • Earnings Per Share rose by 19.76 percent year on year to N3.94.

Continue Reading

Finance

Board of UBA Approves Financial Statements, Dividend Payment for 2020

Published

on

UBA

Board of UBA Approves Financial Statements, Dividend Payment for 2020

The Board of United Bank for Africa Plc has approved the Group Audited Consolidated and Separate Financial Statements and final dividend for the year ended December 31, 2020.

The bank stated in a statement signed by Bili A. Odum, Group Company Secretary.

It said “Please refer to the announcement dated January 12, 2021 which notified the Nigerian Stock Exchange and the investing public of the Board Meeting of United Bank for Africa Plc.

“Please be informed that the Board of United Bank for Africa Plc at its meeting which held on Tuesday, January 26, 2021 considered and approved the Group Audited Consolidated & Separate Financial Statements for the year ended December 31, 2020 and payment of a final dividend, subject to the approval of the Central Bank of Nigeria.

“Further to the above, kindly be advised that the Nigerian Stock Exchange and the investing public would be immediately notified upon approval of the Group Audited Consolidated & Separate Financial Statements for the year ended December 31, 2020 by the Central Bank of Nigeria.”

Continue Reading

Trending