All local govts in the Federation shared ₦3.88trn in six months

NEITI, the Nigeria Extractive Industries Transparency Initiative has said that the Federation Accounts Allocation Committee shared N3.879trn to the Federal Government, states, local governments, and other statutory recipients in the first half of this year.

A run down of the allocations showed that N1.53tn went to the Federal Government, while the states got N1.29tn and the 774 local government areas received N771.34bn.

This information is contained in the latest edition of NEITI’S quarterly review.

The review stated that the N1.53tn received by the Federal Government in the first six months of 2020 was 4.28 per cent lower than the N1.599tn it got in the first half of 2019, and 7.36 per cent lower than the N1.652tn it received in the first half of 2018.

The story was the same for the states and Local Government areas.

“For states, a total of N1.298tn was disbursed in the first half of 2020. This was 2.8 per cent lower than the N1.35tn disbursed in the first half of 2019, and 5.6 per cent lower than the N1.375tn disbursed in the first half of 2020,” the report stated.

For local government areas, the 2020 first half disbursements were 2.64 per cent and 3.04 per cent lower than the corresponding disbursements for 2019 and 2018 respectively.

The report, however, noted that disbursements in Q2 2020 were 1.09 per cent higher than total disbursements in Q2 2019 and 3.66 per cent lower than the one for Q2 2018.

FAAC disbursements in the second quarter of 2020 stood at N1.934tn.

This was made up of N739.2bn to the Federal Government, N629.3bn to state governments, and N375.4bn to the 774 Local Government areas.

The report pointed out that the total FAAC disbursements in the second quarter of 2020 was slightly lower than the N1.945tn disbursed in the first quarter of 2020.

“This aligned with the projections made in the previous issue of the NEITI Quarterly Review which projected lower FAAC disbursement in the second quarter,” the report stated.