FAAC: FG distributes N420.000 billion for October.

A total of N420.000 Billion was distributed to the Federal Government, State Government and Local Government as the Federal Allocation for the month of October 2016.

This month's allocation showed a reduction of about 17.6% (N90.27 Billion) from the previous month of September allocation.

Addressing reporters at the end of the meeting, the Finance minister, Kemi Adeosun, who was represented by the Permanent Secretary, Federal Ministry of Finance, Mahmoud Isa-Dutse said the drop in this month's allocation was majorly due to pipeline vandalism.

The N279.746 Billion Naira received for the month was lower than the N315.045 Billion Naira received in the previous month by N35.299 Billion Naira.

He also attributed the decrease in Volume of dutiable imports,recipts from Joint Venture Cash Call, Foreign Companies Income Tax (CIT) and VAT and pipeline repairs and maintenance to the drop in Revenue.

N242.186 Billion Naira was shared as statutory fund shared at a ratio of 52.68percent for Federal, 26.72percent for State and 20.60percent for Local government and 13percent derivation of about N13.729 Billion; N61.694 as Value Added Tax(VAT) shared at 15percent, 50percent and 35percent for federal, state and local governments respectively.

Mahmoud Isa-Dutse said that although there was an increase in oil prices globally, the country is yet to benefit from it.

The Commissioner for Finance Edo state,John Inegbedion, called on Nigerians to help stop the vandalism of pipelines as the effect is devastating for the economy.

"We call on people to help, whether corporate bodies, government, or individuals to help in the resolving and bringing down the activities of the vandals. It is really eating the economy and the states as well."

The sum of N6.330 Billion Naira was refunded by the Nigerian National Petroleum Corporation to the Federal Government.

The amount in the excess crude account (ECA) now stands at $2.454 Dillion dollars.

A proposed distribution of N63.386 Billion from the Excess PPT account, and N41.402 Billion Naira from exchange gain.

Details of the Statutory Revenue distributable for the month of October 2016 is as follow:

Federal Government received N120.351 Billion (52.68percent)

States received N61.044 Billion (26.72percent)
Local Government Councils received N47.062 Billion (20.60percent)

The breakdown of the Value Added Tax distribution for the month, is as follows:

Federal Government got N9.254 Billion (15percent)
States Government got N30.847 Billion (50percent)
Local Government Councils received N21.593 Billion (35percent).