FG, States, LGs share N628.775 Billion Federation Allocation in December 2014

ABUJA (Federal Ministry of Finance Report) – A total of N628.775 billion generated in November 2014 has been shared to the three tiers of government as federal allocation for the month of December, 2014. 

According to the report published by the Publicity Department of the Federal Ministry of Finance on Monday December 22, 2014, the current generated revenue is N35.438 billion more than the N593.337 billion generated in October 2014 and shared to the three tiers of government in November 2014.

“The distributable statutory revenue for December 2014 was N427.654 billion and the gross revenue available from the Value – Added Tax (VAT) was N60.638 billion. This was N6.499 billion lower than the N67.137 billion available in the previous month. The sum of N35.549 was available from SURE-P,” the report indicated.
“Other funds that added up to the total distributable revenue for the month included the sum of N6.330 billion refunded by NNPC and the exchange gain of N6.130 billion as well as an additional N55.601 billion received from the NNPC.”

The communiqué issued by the Federal Accounts Allocation Committee (FAAC) after the exercise explained that the Federal Government received N196.463 billion (52.68%); the State Governments got N99.649 billion (26.72%); whilst the Local Governments received N76.825 billion (20.60%). Adding, for the month of December 2014, the Oil Producing States earned N39.915 billion as 13% derivation revenue.

It observed that the gross revenue of N500.076 billion was received for the month of December 2014 which is lower than the N536.692 billion received in the previous month by N36.616 billion.

“A drastic drop of 33% in export volume between September 2014 and October 2014 and a further drop in Crude Oil Price from $96.81 in September to2014 $87.78 in October 2014  impacted negatively on the revenue for the month. Other issues that had negative impact on the revenue include the ongoing ‘Force Majeure’ by Shell since June 2014 and incessant shutdowns and shut-in of trunks and pipelines at various terminals,” the communiqué informed.