Tuesday, July 27, 2021

Federation Account: Details Of How FG, States, LGs Shared ₦7.23trn In 2020

President Muhammadu Buhari-led government, states and local government councils shared N7.23trillion from the Federal Account in 2020.

The fund which was shared by the Federal Government, states and local government comprise collections by revenue generators, including Nigeria Customs Service (NCS) Department of Petroleum Resources (DPR) and Federal Inland Revenue Service (FIRS).

It was gathered that the Minister of State for Finance, Zainab Ahmed, meets with State Commissioners of Finance for disbursement every month.

A further report revealed that the Federal Government and its agencies received ₦3.04trillion, States and LGs got ₦4.18trillion.

The ₦4.18trillion is a ₦232billion lesser than the ₦4.4trillion the two tiers received in 2019.

The Economic Confidential, Lagos in a report noted that the fund is ranked the highest recipient with a sum of ₦299billion in twelve months.

Delta received ₦247billion, Akwa Ibom ₦212billion, Rivers ₦198billion and Kano ₦174billion. The five states got 25 per cent of the total allocation.

Other states in the top 10 were Bayelsa ₦152billion, Katsina ₦130billion, Oyo ₦127billion, Kaduna ₦124billion and Borno ₦115billion.

Also Read: FG Will Tax Profits Made By Global Tech Giants In Nigeria – Osinbajo

The lowest recipients were Gombe ₦72billion, Ebonyi ₦73billion, Nasarawa ₦73billion, Ekiti ₦74billion and Kwara ₦77billion.

Edo, Ondo, Cross River, all oil-producing states, got ₦99billion, ₦97billion and ₦86billion respectively.

Factors that influence allocations to states and local councils include population, derivation, landmass, revenue generation drive, school enrolments, health facilities, water supply, among others.

We would like to keep you updated with special notifications.