The Federation Account Allocation Committee (FAAC) has announced the distribution of N1.208 trillion to the federal, state, and local governments for May 2024. This allocation is derived from revenues collected in April 2024 and includes statutory allocations, Value Added Tax (VAT), and Electronic Money Transfer Levies (EMTL).
This latest disbursement marks an approximate 8 per cent increase from the N1.123 trillion allocated in the previous month, signaling a modest but notable rise in government revenue flows.
Breakdown of Allocations
According to a statement from the Office of the Accountant General, signed by its Director (Press and Public Relations), Bawa Mokwa, the total distributable revenue of N1.208 trillion consists of:
Statutory Revenue: N284.716 billion
Value Added Tax (VAT) Revenue: N466.457 billion
Electronic Money Transfer Levy (EMTL) Revenue: N18.024 billion
Exchange Difference Revenue: N438.884 billion
Distribution Among Government Tiers
The total revenue available for April 2024 was N2.192 trillion. After deducting N80.517 billion for the cost of collection and N903.479 billion for transfers, interventions, and refunds, the remaining amount was distributed among the three tiers of government. Approximately 55 per cent of the revenue made in April was shared in May 2024.
From the N1.208 trillion total distributable revenue:
Federal Government: N390.412 billion
State Governments: N403.403 billion
Local Government Councils: N293.816 billion
Oil-Producing States (Derivation Revenue): N120.450 billion (13% of mineral revenue)
Revenue Details
Gross Statutory Revenue for April 2024: N1.233 trillion (an increase of N216.282 billion from March 2024’s N1.017 trillion).
Gross Revenue from VAT: Decreased to N500.920 billion (down by N48.778 billion from March 2024’s N549.698 billion).
Specific Allocations
Distributable Statutory Revenue:
Federal Government: N112.148 billion
State Governments: N56.883 billion
Local Government Councils: N43.855 billion
Oil-Producing States (Derivation Revenue): N71.830 billion
Distributable VAT Revenue:
Federal Government: N69.969 billion
State Governments: N233.229 billion
Local Government Councils: N163.260 billion
EMTL Revenue:
Federal Government: N2.704 billion
State Governments: N9.012 billion
Local Government Councils: N6.308 billion
Exchange Difference Revenue:
Federal Government: N205.591 billion
State Governments: N104.279 billion
Local Government Councils: N80.394 billion
Oil-Producing States (Derivation Revenue): N48.620 billion
Economic Highlights
The communiqué highlighted significant increases in oil and gas royalties, company income tax (CIT), excise duty, petroleum profit tax (PPT), EMTL, and CET Levies for April 2024. However, there were notable decreases in import duty and VAT.
As of the end of April 2024, the Excess Crude Account (ECA) balance stood at $473,754.57.
