FG spent N697bn on revenue collection in 11 months

The revenue was shared at the May 2024 meeting of the Federation Accounts Allocation Committee held in Abuja.

The Federal Government of Nigeria has spent a total sum of N697bn to collect the N15.8tn shared by the three tiers of government in the first 11 months of the current administration.

This was derived through an analysis of the monthly disbursement statements issued by the Federal Account Allocation Committee between June 2023 and April 2024.

FAAC has the duty of examining and approving the distribution of financial resources to the states and the Federal Government.

Monthly, this committee is tasked with the disbursement of funds across Nigeria’s 36 states and its 774 local government areas.

This allocation is anticipated to drive progress and support governmental bodies across various tiers in executing their duties.

According to a statement issued in May by the Director of Press and Public Relations in the Office of the Accountant-General of the Federation, Bawa Mokwa, the three tiers of government shared a total sum of N1.2tn in April out of the total revenue of N2.192tn available for the month.

Mokwa said, “The revenue was shared at the May 2024 meeting of the Federation Accounts Allocation Committee held in Abuja.

“A communiqué issued by the Federation Allocation Account Committee revealed that the N 1,208.081bn total distributable revenue comprised distributable statutory revenue of N284.716 billion, distributable Value Added Tax revenue of N466.457bn, Electronic Money Transfer Levy revenue of N18.024bn and Exchange Difference revenue of N438.884bn.

“Total revenue of N2,192.077bn was available in the month of April 2024.  Total deduction for cost of collection was N80.517bn; total transfers, interventions and refunds was N903.479bn,” he stated.

As of May 2023 when the last regime of General Muhammadu Buhari left office, the total amount received by the three agencies as cost of revenue collection for that month alone was N31.07bn.

However, the three agencies collected N80.5bn as cost of revenue collection for April 2024, which was N49.43bn higher than the May 2023 funds they received.

This implies that the cost of monthly revenue collection for the country increased by 159 per cent in the first 11 months of the current administration.

Similarly, the three agencies received a total sum of N697bn as cost of revenue collection for the first 11 months of the current administration, but got approximately N403bn in the last 11 months of the immediate past Buhari regime. This gives a difference of N294bn, indicating an increase of 72.9 per cent.

Culled from Punch