The National Bureau of Statistics (NBS) in its latest report said that the Federation Account Allocation Committee (FAAC) disbursed the sum of N1.35 trillion to the three tiers of government in November 2023 from the revenue generated in October 2023.
According to the NBS, the highest contributions to the disbursed amount comprises of N509 billion from the Statutory Account, N289 billion from exchange rate gain, N300 billion from Non-Oil Revenue, N120 billion from the Electronic Money Transfer Levy (EMTL), and N134 billion from Value Added Tax (VAT).
The NBS gave the break down of the allocations to the three tiers of government for November 2023 as follows: Federal Government received a total of N323.35 billion, States got a total of N307.72 billion, while the Local Governments went home with a total of N225.21 billion.
In addition, it said the sum of N50.67 billion was shared among the oil-producing states from the 13 percent derivation fund.
The NBS highlighted that the revenue generating agencies comprising Nigeria Customs Service (NCS), Federal Inland Revenue Service (FIRS), and the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) that played a pivotal role in the financial distribution received N16.38 billion, N24.59 billion, and N12.52 billion respectively, as cost of revenue collections.
The pattern of disbursement exemplifies the diversity of Nigeria’s revenue streams, with the FAAC making sure that the distribution is done equitably to the different tiers of government and all relevant agencies.
Analyst says, as the country continues to navigate its fiscal landscape, the dynamics of revenue distributions to the three tiers of government and deserving agencies, play a vital role in sustaining essential services and fostering economic stability.