FAAC shares N12.2 trillion to FG, states, councils in 18 months
From January to December 2018, the three tiers of government received N8.2tr from the federation account, as a new report published by the Nigeria Extractive Industries Transparency Initiative (NEITI) has shown that they have shared N3.84tr between January and June this year.
The report indicated that the money going to the three tiers of government was increasing compared to the amounts received two years ago, considering that the Federal Government, 36 states and the 774 local government areas got N5.9tr in 2017.
In the first quarter of 2016, FACC disbursed only N1.938tr to the three tiers of government.
Current disbursements in the first quarter of 2019 showed that nine states representing 25 per cent of all the states of the federation had received amounts higher than the first half of 2018.
A breakdown of the FAAC disbursement showed that the Federal Government received N1.599tr, the 36 states got N1.335tr, while the 774 local councils shared N792b in the period under review.
However, the NEITI report also revealed that FAAC’s disbursements of N3.84tr in the first half of this year were slightly lower than the N3.94tr disbursed during the same period in 2018, but higher than the N2.78tr disbursed in the first half of 2017.
The NEITI quarterly review, which combined new data for the 2019 second quarter with previous data for the first quarter also showed that increase in revenues witnessed in the first half of 2018 and 2017 were not sustained in 2019, as revenues in first half of this year were slightly lower.
For instance, the N3.84tr shared in the first half of 2019 was 2.6 per cent lower than the N3.94tr disbursed in the first half of 2018 and 37.8 per cent higher than the N2.8tr disbursed in the first half of 2017.
The analysis, conducted using data obtained from the National Bureau of Statistics (NBS), Office of the Accountant General of the Federation and FAAC showed that, “in the first half of 2019, total disbursements to FG amounted to N1.599tr, translating to 41.61 per cent of the total amount disbursed over the period.
This was lower than the N1.652tr disbursed in the first half of 2018, but higher than the N1.098tr disbursed in the first half of 2017.
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