The federal government, states, and local government councils (LGCs) received N2.22 trillion as a federation allocation for August, increasing from N2.001 trillion in July.
The Federation Account Allocation Committee (FAAC) disbursed the monthly allocation to the tiers of government for August.
This was revealed in a statement on Wednesday, September 17, following the committee’s meeting in Abuja, chaired by Minister of Finance and Coordinating Minister of the Economy Wale Edun.
The allocation was drawn from a gross revenue of ₦3.63 trillion.
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The allocation comprised gross statutory revenue, value-added tax (VAT), electronic money transfer levy (EMTL), and exchange difference.
Gross statutory revenue amounted to ₦1.47 trillion, VAT ₦672.90 billion, EMTL ₦32.33 billion, and the exchange difference ₦41.28 billion, bringing the total distributable amount to ₦2.22 trillion for August.
Of the total revenue distributable, the federal government received N810.05 billion, the states N709.83 billion, and LGC N522.23 billion.
Additionally, oil-producing states received N183.01 billion as a 13 per cent derivation.
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According to FAAC, N124.84 billion was set aside as the cost of collection, while N1.28 trillion went into transfers, interventions, and refunds.
FAAC noted that the gross revenue available from the VAT increased to N722.61 billion in August as against N687.94 billion in July.
“From that amount, the sum of N28.905 billion was allocated for the cost of collection, and the sum of N20.811 billion was given for transfers, intervention, and refunds,” FAAC said.
It stated further that gross statutory revenue of N2.83 trillion received for August was, however, lower than the N3.07 trillion received in July.
The committee added that oil and gas royalty, VAT, and CET levies increased significantly, while petroleum profit tax (PPT), import duty, EMTL, companies’ income tax (CIT), and excise duty recorded decreases.
Earlier this month, President Bola Tinubu hinted that the country hit its 2025 revenue target in August, driven largely by proceeds from the non-oil sector.
Alex is a business journalist cum data enthusiast with the Pinnacle Daily. He can be reached via ealex@thepinnacleng.com, @ehime_alex on X
