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Amnesty boosts federation account

*Rises to N330.64bn

By Omoh Gabriel

Nigeria has started to reap the fruits of the amnesty granted to militants in the form of improved revenue flow into the federation account for distribution to the three tiers of government.

Revenue accruing to the federation account from mineral earnings which stood at N138.511 billion in October at the peak of the amnesty rose to N 330.636 billion at the end of November.

This show that the federation account benefited from the amnesty by an increase in oil export earning to the tune of N 192.125 billion.

During the same period non mineral revenue rose just by N 1.359 billion from its base of N 86.890 billion in October to N 88.249 billion. Thus the federation account received a total of N 418 billion in November as against the N 225.401billion in October which resulted in the federation account allocation committee to dip its hand into the excess crude account to augment the allocation to the three tiers of government with N 121.228 billion.

FG, states revenue improves

Following this development, the Federal Government revenue which is 52.68 per cent of the federation account improved by N 55.192 billion from the N 81.561 billion it got in October to N 136.753 billion in November.
State governments which share of the federation account is 26.72 per cent had N 69.363 to share higher than the N 41.369 billion they collectively shared in October before the militants surrendered their arms.

In addition, the sum of N 48.627 billion is recommended for distribution being exchange gain for the month. The total revenue distributable for the month (including VAT) is N373.570 billion. This shows an increase of N19.628 billion or 5.44 per cent compared to the amount distributed in October 2009″.

FG to assist states enforce fiscal responsibility

Meanwhile, the Federal Government has said that it has made substantial financial provision in this year’s budget to assist state governments in enforcing Fiscal Responsibility Legislation.

This fact was made known when the management of the Fiscal Responsibility Commission, led by its chairman, Alhaji Aliyu Jibril Yelwa appeared before the Senate Committee on Finance to defend the Commission’s budget for 2010.


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