FG, States, LGs Got Over N6tn in Nine Months – FAAC

• FG, States, LGs Got Over N6tn in Nine Months – FAAC

Revenue disbursements by the Federation Account Allocation Committee to the three tiers of the government hit N6.226tn in the third quarter of 2018.

There has been a steady increase in the first three quarters of this year with N2.28tn shared in the third quarter of 2018.

A breakdown shows that the Federal Government received the highest sum of N904.8b, followed by states, which received N718.5bn and Local Governments Areas receiving the lowest disbursement of N432.1bn.

The information is contained in the latest edition of the Nigeria Extractive Industry Transparency Initiative Quarterly Review released in Abuja on Sunday.

NEITI said, “Total FAAC disbursements in the third quarter of 2018 amounted to N2.28tn, representing a 17.6 per cent increase over the N1.938tn disbursed in the first quarter of 2018 and 13.5 per cent higher than the N2.008tn disbursed in the second quarter.”

The report added, “It is interesting that with the exception of July, the lowest amount disbursed so far in 2018 is higher than disbursements in all other months in 2016 and 2017.”

A breakdown of the disbursed sums for 2016, 2017 and 2018 showed that the disbursements in the third quarter of 2018 (N2.28tn) were 31 per cent and 18 per cent higher than disbursements in the third quarters of the last two years.

NEITI also stated that the last time total disbursements exceeded the N2.5tn mark was in the second quarter of 2014 (N2.51tn).

Further analysis of the increase as reported by the NEITI Quarterly Review showed that the Federal Government’s receipt of N904.8bn in the third quarter of 2018 was 11.3 per cent and 7.8 per cent higher than the amounts received in the first (N812.8bn) and second (N839.5bn) quarters respectively.

NEITI said, “The amount disbursed to states represented an increase of 5.1 per cent over the N683.5bn disbursed in the first quarter, and an increase of 3.8 per cent over the N692.1bn disbursed in the second quarter.

“For LGAs, the amount received was 9.8 per cent and 7.5 per cent higher than the respective amounts of N393.4bn and N402.1bn received in the first and second quarters.”