…As Excess Crude account grows to $3.094bn
22 July 2016, Sweetcrude, Abuja – The Federal Account Allocation Committee (FAAC) said on Thursday it distributed the sum of N559.032 billion to the three tiers of government. This makes it highest allocation since the APC-led administration of President Muhammadu Buhari took over power 12 months ago.
The Excess Crude Account (ECA) also increased from $2.61b to $3.094 billion.
Minister of Finance and Chairman of FAAC, Mrs. Kemi Adeosun, who chaired the meeting in Abuja said that the gross statutory revenue of N538.788 billion received for the month was higher than the N237.466 billion received in the previous month by N301.322 billion.
She attributed the improvement in the revenue to the non-oil sector especially the Federal Inland revenue (FIRS) which she said has increased its collection by N165 billion as well as the duties from the Nigerian Customs Service (NCS).
Giving the breakdown of the distributed figures, the Federal Government received a total of N209.46 billion inclusive of its 52.68 percent and 15 percent Value Added Tax (VAT).
The State governments received a total sum of N133.671 billion VAT inclusive while the Local Government Councils got the sum of N100.759 billion VAT inclusive.
According to the Minister, crude oil export volume increased by 1.9 million barrels in March 2016 despite the subsisting Force majeure declared at Forcados Terminal, Shut-in and Shutdown of pipelines at other terminals due to leakages, vandalism and turn around maintenance.
The average price of crude oil increased from $32.26 in February to $38.64 in March 2016 resulting in $92.99 million increase in Federal Export Revenue.
There was an outstanding increase in Companies income Tax (CIT) and Petroleum Profit Tax (PPT) with a complementary increase in Import Duty and royalties.
The sum of N6.330 billion was refunded by NNPC to Federal Government of Nigeria, while N9.923 billion Solid Mineral Revenue generated from 2007 to 2014 was also distributed.
Also, there was exchange gain of N79.272 billion which was proposed for distribution.