The Federation Account Allocation Committee, FAAC, has disbursed a total sum of N906.955 billion to the three tiers of government as federation allocation for the month of October. The funds were shared during the FAAC retreat and meeting in Asaba, Delta State.

According to a communique issued after the meeting, the N906.955 billion included distributable statutory revenue of N305.070 billion, distributable Value Added Tax (VAT) revenue of N323.446 billion, and Electronic Money Transfer Levy (EMTL) revenue of N15.552 billion. It also comprised Exchange Difference revenue of N202.887 billion and an augmentation of N60.000 billion.

The total revenue available in October 2023 was N1,346.519 trillion. After deducting the cost of collection, transfers, interventions, and refunds, a gross statutory revenue of N660.090 billion was received, representing a decrease from the previous month.

From the N906.955 billion total distributable revenue, the Federal Government received N323.355 billion, state governments received N307.717 billion, and Local Government Councils (LGCs) received N225.209 billion. Additionally, N50.674 billion (13% of mineral revenue) was shared with relevant states as derivation revenue.

Moreover, the communique revealed the breakdown of the distribution of the distributable statutory revenue, distributable VAT revenue, and EMTL revenue among the Federal Government, state governments, and LGCs.

Furthermore, it highlighted significant increases in Import Duty, Petroleum Profit Tax (PPT), VAT, CET Levies, and EMTL, while Excise Duties and Companies Income Tax (CIT) recorded considerable decreases. Additionally, there was a marginal decrease in Oil and Gas Royalties.

The October allocation of N906 billion is significant for the development and fiscal planning of the federal, state, and local governments in Nigeria. This substantial allocation is expected to impact various sectors and projects across the country, contributing to economic growth and stability.

Nigerians are keenly anticipating the positive effects of this allocation on infrastructural development, social services, and the overall welfare of citizens. As the government continues to disburse funds through FAAC, it is imperative for transparency and accountability to be upheld, ensuring that these allocations are utilized for the betterment of the nation.

The FAAC allocation serves as a crucial component of the financial landscape, shaping the trajectory of government operations and public welfare. It is imperative for stakeholders and the general public to remain informed about the disbursement and utilization of these funds, fostering a sense of collective responsibility and awareness of the nation’s economic dynamics.