How FG, states, LGs shared N511.799bn in July

How FG, states, LGs shared
N511.799bn in July

… says no agency is exempted from STA
By Emmanuel Elebeke
Federal government and other tiers of government
Wednesday, shared the sum of N511. 799 billion
for the month of July, 2015.
The gross revenue of N433.584 billion was
received for the month under review, which was
lower than the N485.952 received in the previous
month by N52.368 billion.
At a Federation Accoint Allocation Committee
(FAAC) meeting held Wednesday night, the
Permanent Secretary in the ministry of Finance,
Mrs. Anastasia Nwaobia, said the shut down and
shut-in of production for maintenance and
emergency repairs as well as declaration of Force
Majeure by SPDC were the major issues that
negatively impacted crude oil revenue in view.

image

President Muhammadu Buhari flanked by Vice
President Yemi Osinbajo and Governor Nasir El
Rufai while Governor Adams Oshiomhole of Edo
State and Governor Nyesom Wyke of Rivers State
(r) as they discussed after the first meeting
between the President and State Governors at the
Presidential Villa, Abuja. Photo by Abayomi
Adeshida 23/06/2015
… says no agency is exempted from STA
By Emmanuel Elebeke
Federal government and other tiers of government
Wednesday, shared the sum of N511. 799 billion
for the month of July, 2015.
The gross revenue of N433.584 billion was
received for the month under review, which was
lower than the N485.952 received in the previous
month by N52.368 billion.
At a Federation Accoint Allocation Committee
(FAAC) meeting held Wednesday night, the
Permanent Secretary in the ministry of Finance,
Mrs. Anastasia Nwaobia, said the shut down and
shut-in of production for maintenance and
emergency repairs as well as declaration of Force
Majeure by SPDC were the major issues that
negatively impacted crude oil revenue in view.
She also said there was revenue loss of $22.53
million as a drop in average price of crude oil
from $65.76 in May to $61.27 in June, 2015.
A breakdown of the figure shows that N433.584
billion was received from statutory allocation,
N74.945 billion came from Value Added Tax
(VAT).
Also, there was exchange gain of N6.409 billion
which was also distributed.
Meanwhile, the sum of N6.330 billion was
refunded by NNPC to federal government.
Further breakdown of the figures shows that
Federal Government received N202.111 billion
from statutory allocation, which represents 52.68
percent, while states and local governments
received N102.513 billion and N79.033 billion
respectively, representing 26.72 per cent and
20.60 per cent.
The Federal Government received N10.792 billion
from VAT, the states and local governments got
N35.974 billion and N25.181 respectively.
Oil producing states shared N25.181 billion as the
13 percent derivation against 21.837 billion
shared in the previous month.
The Permanent Secretary, however told journalists
that the Federal Government introduced the Single
Treasury Account policy to further check leakages
in the government revenue.
‘‘The Single Treasury Account policy is going to
ensure that all revenue go into single account.
With all revenue going into a single account,
Federal Government will have an over view of
available monies in its account and plan
expenditure. The leakages where people use
monies in their various accounts will no longer be
there and will enhance proper management of
government resources.’’
Under the excess crude account, ECA, she stated
that the reserve stood at $2.257 billion as at
yesterday.
On why salaries are coming late, Nwaobia said,
‘‘salaries used to come early when we were not
having revenue challenges, now we are having
revenue challenges, salaries can’t be paid early
as it used to be.
‘‘We need enough time to prepare before salaries
can be paid now we are having revenue
challenges.
‘‘We are hoping that when revenue improves and
we hold FAAC meetings at the second week of the
month, salaries will be paid much earlier. We
hope civil servants will understand.’’
Responding to question on the rumoured
exemptions of some government agencies from
the STA policy, the Accountant general of the
Federation, Ahmed Idris said there was no
exemption.
‘‘STA is a government policy and for now, all
agencies are funded from the budget and those
partially funded are expected to key in. I am not
away of any exception, we are coming up with
adequate guidelines for the entire process and for
the enlightenment of the general public. I am
away agencies are complying.’’

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