In a recent disbursement from the Federation Account Allocation Committee (FAAC), the Federal Government, along with the 36 States, the Federal Capital Territory (FCT), and 774 Local Government areas, shared a total of N906.955 billion as subvention for the month of October.
The breakdown of the funds, as disclosed by the Office of the Accountant General of the Federation, comprises distributable statutory revenue of N305.070 billion, distributable Value Added Tax (VAT) revenue of N323.446 billion, Electronic Money Transfer Levy (EMTL) revenue of N15.552 billion, Exchange Difference revenue of N202.887 billion, and an augmentation of N60 billion.
According to the official statement, the total revenue available for distribution in October 2023 was N1,346.519 trillion. This sum underwent deductions for the cost of collection amounting to N53.483 billion, with total transfers, interventions, and refunds accounting for N386.081 billion. The gross statutory revenue received during the month was N660.090 billion, reflecting a decrease of N354.863 billion compared to the N1,014.953 trillion received in September 2023.
The gross revenue from the Value Added Tax (VAT) stood at N347.343 billion, representing an increase of N43.793 billion compared to the previous month’s figure of N303.550 billion.
In the distribution of the N906.955 billion total revenue, the Federal Government received N323.355 billion, State Governments received N307.717 billion, and the Local Government Councils were allocated N225.209 billion. This distribution is in line with the established framework for revenue allocation among the tiers of government.
The allocation plays a crucial role in supporting various developmental initiatives, infrastructure projects, and public services at the federal, state, and local levels. As the government continues its financial management efforts, the monthly disbursement from FAAC remains a vital component in sustaining economic activities and promoting equitable resource distribution across the country.
