FAAC: FG, states, LGs share N718b for June

The Federation Accounts Allocation Committee on Monday in Abuja shared N718.10 billion for the month of June, an official said.
The Minister of State for Finance, Dr. Yerima Ngama, told newsmen after the FAAC meeting that the distributable statutory revenue for the month was N623.76 billion, adding: “There was no need for argumentation.
“Also distributed is the sum of N7.61 billion refunded by the NNPC (Nigeria National Petroleum Corporation).
“In addition, the sum of N35.54 billion is proposed for distribution under the SURE-P programme.
“The total revenue distributable for the current month, including the value added tax is N718.10billion.”
He said that N 92.43 billion, the argumentation areas of May, would also be distributed within the month, adding that it was not shared the previous month because the funds were not available
A breakdown of the distribution showed that the Federal Government received N294.03 billion (52.68 per cent), states  N149.14 billion (26.72 per cent) while local governments received N114.98 billion (20.60 per cent).
Ngama said that a total of N52.23 billion, representing 13 per cent derivation revenue, was shared among the oil producing states.
He said that the gross revenue of N863.02 billion received for the month was higher than N590.77 billion received in May by N272.24 billion
He said: “There was significant increase in non-oil revenue in May because of the rush by companies to meet the Company Income Tax deadline of 30th June.
“Also, there was an increase in crude oil production due to completion of pipeline repairs in some terminals.”
He, however, said that the challenges of production and lifting were still affected because of the force majeure declared by Bonny terminals and continuous theft and vandalism.
On VAT, he said that for the month of June, the gross revenue available was N51.170 billion as against N74.873 billion distributed in the preceding month.
This, he said, resulted in a decrease of N23.703 billion.
Ngama said that the mineral revenue collected for the month was N550.33 billion, adding that the amount exceeded the budget of N465.057 for the month and N464.11 realised for the month of May
According to him, the non-mineral revenue collected for the month of June was N312.69 billion, showing an increase from the N126.66 billion collected in May
Meanwhile, Timothy Odah, the Chairman, Finance Commissioners Forum, told newsmen shortly after the meeting that the forum had extensive discussions on how best to enhance the payment system.
He expressed joy over the fact that there was no need to make withdrawal from the excess crude account to augment the month’s allocation.
He said: “We are happy over the improvement of what was collected by the FIRS and NNPC.
“The improvement of VAT and tax as non-mineral revenues shows increased diversification of the economy.”
Talking on the backlog of payments owed to the states, the chairman said they were still working on making sure that all payments were issued latest August.