RESPITE: N603.5bn Shared By Three Tiers Of Govt. For September

A total of N603.529 billion was today shared among the three tiers of government for the month of September. The figure was however,lower than the N611.767 shared for August 2014.
N463.779 billion was shared among the three tiers of government as statutory fund, N65.102 billion from Value Added Tax (VAT), N30 billion as additional distribution from NNPC, N35.549 billion from SURE-P and N6.330 as NNPC refund to the federal government.

The APC Governors had on Tuesday in Ilorin, capital pf Kwara State, accused the Federal Government of deliberately starving States controlled by the party of funds, wondering why the PDP controlled States did not share their concern and predicament if the presidency was not clandestinely funding PDP states through the back door.
Chairman of APC Governor’ Forum, Rochas Okorocha said: “This issue has become a very serious concern to us as governors and we felt that issues that affect the lives of our people must never be politicised. We refuse to accept the fact that this nation is broke and thank God that the Federal Government has confirmed that the nation is not broke. If the nation is not broke, what is due to states should be given to states.
“This idea of cutting what should go to states does not in any way promote democracy and democratic dividends. And so, we as progressive governors, call on the Federal Government to look into the issue of dwindling resources and convince us why the states should not get what is due to them.
The Street Journal however gathered that also shared was the N2.76 billion initially meant for transfer to the Excess Crude Account (ECA).
The gross revenue of N502.09 billion received for the month was lower than the N601.65 billion received in the previous month. The further decline in mineral revenue was attributed to the slight decrease in the crude oil prices and production loss due to shut-in and shut down of trunk lines and pipelines at various terminals.
The federal and state governments were locked in fierce negotiations on what to share for the month of September from the federation account with the state governments forcing the sharing of N2.7 billion meant for saving in the ECA.
Midway into the negotiations, state commissioners of finance trooped out of the auditorium of the federal ministry of finance venue of the Federal Account Allocation Committee (FAAC) meeting in Abuja to huddle together and review the offer brought to the table for sharing.
The major issues responsible for the disagreement was the outstanding debt owed by the Nigeria National Petroleum Corporation (NNPC) to the Federation Account and what to do with the proceeds of the Excess Crude Account (ECA).
Ir was gathered that the meeting was deadlocked when the amount proposed for sharing was considered too low and unacceptable to the states and that they were prepared to reject the figure from the federal government.
It was furthered confirmed to that the sum of N2.7 billion from the ECA generated a lot of debate with the federal government team led by the minister of state for finance Ambassador Bashir Yuguda canvassing for “the no-sharing option based on the view that the country’s savings should be beefed to mitigate any likely shocks on the economy.”
However, the states led by their commissioners of finance opposed moving the amount into ECA on the grounds that their state governments needed more funds to execute various projects and programmes as well as pay civil servants. But the state government had their way. By this development, the sum of $4.1 billion is now left in the ECA.
The state governments also demanded for full disclosure of the activities the NNPC especially how much had been transferred to the Federation Account.
A the end of a long drawn out meeting the minister of state for finance addressed journalists on the what was shared for the month of September.

Author: News Editor

2787 stories / Browse all stories

Related Stories »

Provide your email below, and we will notify you the latest news freely.

sjdating    

calendar »