FG, states pay June salaries, to decide on NNPC
The states and federal governments have finally agreed to put on hold their prolong disagreement with the Nigerian National Petroleum Corporation, NNPC, over its revenue remitted into the federation account.
Recall that the disagreement with the revenue generating agency had led to delay in payment of June salary in some states due to the several adjournment of the Federation Account Allocation Committee meeting for June.
However, the federal ministry of finance said that the urgent need to cushion the undue hardships being experienced by workers nationwide has made it necessary to distribute the May figures totalling N668.898billion to the three tiers of Government, while efforts are being intensified to address the unsatisfactory remittances.
The N668.898billion is made up of statutory distributable sum of N575.475 billion and N 93.423 billion from the Value Added Tax.
The total revenue realised for the month, was shared in line with the extant formula as follows: Federal Government - N282.223 billion; State Governments - N181.167 billion; and Local Government Councils - N136.490 billion. The Oil Producing States received N53.071 billion as 13 per cent derivation. The sum of N15.947 billion was paid to the revenue generating agencies as costs of collections.
Analysis of the figures shows that statutory revenue of N575.475 billion received for the month of May 2018 was lower than the N613.057 billion received for April 2018 by a total of N37.582 billion. From the total statutory revenue of N575.475 billion, the Federal Government was given N268.770 billion; the States - N136.324 billion; Local Government Areas - N105.100 billion; the Oil Producing States - N53.071 billion, and the revenue generating agencies received N12.210 billion as costs of collections.
For the month of May 2018, the total revenue of N93.423 billion from the VAT was N5.458 billion higher than the N87.965 billion distributed in April 2018. From the total of N93.423 billion, the Federal Government received N13.453 billion; the States received N44.843 billion; the Local Government Councils received N31.390 billion, while N3.737 billion was received by the revenue collecting agencies.