The Federation Account Allocation Committee (FAAC) disbursed a total of N2.054 trillion to the three tiers of government and other statutory recipients in the third quarter (Q3) of 2020.
A breakdown shows that the Federal Government received N812.22 billion, state governments received N676.5 billion while local government areas got N429.16 billion. This was the first time that total disbursement has exceeded N2 trillion for a quarter in 2020.
The data is contained in the latest edition of Nigeria Extractive Industries Transparency (NEITI)’s Quarterly Review. The review analysed FAAC disbursements in the third quarter of 2020, using data from the National Bureau of Statistics and the Revenue Mobilization, Allocation and Fiscal Commission.
According to the review, total net FAAC disbursements to states ranged between N9.39 billion and N43.08 billion in the third quarter (July-September) 2020.
Table below shows what each state received from the least to the highest
|No||States||Amount (N billions)|
A breakdown shows Osun State received the lowest net disbursement of N9.39 billion, while Delta State received the highest disbursement of N43.08 billion. Thus, Delta State received about four and half times what Osun State received within the period.
The data also shows that the combined disbursements of the four states with the highest disbursements (Delta, Rivers, Lagos, Akwa Ibom) came to N144.48 billion, which is higher than the combined total of N135.36 billion received by the 12 states with the lowest disbursements namely; Osun, Cross River, Plateau, Ogun, Ekiti, Gombe, Zamfara, Kwara, Nassarawa, Ebonyi, Taraba, Ondo.
The wide disparity in net disbursements received by states owes to the existing revenue sharing formula, and 13percent derivation to oil producing states.
Download full report here: NEITI Quarterly Review, Issue #18