FAAC Shares N966.11 Billion Among Federal, State, and Local Governments in July Amid Revenue Decline
In July, the Federation Account Allocation Committee (FAAC) distributed a total of N966.11 billion to the Federal, State, and local governments, out of a gross revenue of N1.74 trillion. This revenue marked a 10.8 percent decline from the previous month’s N1.95 trillion. However, the disbursed sum represented a slight increase compared to the N907.054 billion shared in the prior month.
The distribution breakdown included N397.419 billion as distributable statutory revenue, N271.947 billion as distributable Value Added Tax (VAT) revenue, N12.840 billion as Electronic Money Transfer Levy (EMTL) revenue, and N283.904 billion as Exchange Difference revenue. Among these allocations, the Federal Government received N374.485 billion, State Governments received N310.670 billion, and Local Government Councils received N229.409 billion. Additionally, N51.545 billion was allocated to relevant states as 13 percent derivation revenue.
July’s deductions included N62.419 billion for the cost of collection and N717.962 billion for savings, transfers, refunds, and tax credit cancellations. The Excess Crude Account (ECA) balance stood at $473,754.57.
Gross statutory revenue for July amounted to N1.150 trillion, down from June’s N1.152 trillion. VAT revenue increased slightly to N298.789 billion from June’s N293.411 billion. The Electronic Money Transfer Levy (EMTL) of N12.840 billion was shared among different levels of government, and exchange difference revenue decreased to N283.904 billion.
Wale Edun, the Minister of Finance and Coordinating Minister of the Economy, who chaired the meeting, emphasized the importance of resource mobilization to fulfill the government’s employment and poverty reduction goals. He also stressed the need for monetary discipline to control inflation in the country’s economy.