…Highest Allocations: Lagos N299bn, Delta N247bn, Akwa-Ibom N212bn, Rivers N198bn, Kano N174bn
A new report by Economic Confidential has disclosed that the Federal Government, 36 states, and the 774 local government councils in Nigeria shared a total sum of N7.23trillion from the Federation Account in 2020.
While the Federal Government and its agencies received a total sum of N3.04 trillion, other tiers of government shared N4.18 trillion.
The shared N4.18tr to States and their Local Government Councils in 2020 is N232 billion lesser than the N4.4 trillion they received in the previous year of 2019.
In its annual detailed investigative report with a table of figures, Economic Confidential disclosed that among the state recipients, Lagos is ranked first as the highest recipient of gross allocation with a total sum of N299bn in the twelve months of 2020. It is followed by Delta State N247bn, Akwa Ibom N212bn, Rivers State N198bn, and Kano State N174bn. The five states cornered over a quarter (25%) of the total allocation for the States and local government councils in Nigeria.
Among the 10 highest recipients from the Federation Account are Bayelsa State which got N152bn; followed by Katsina State N130bn, Oyo State N127bn, Kaduna State N124bn, and Borno State N115bn.
The lowest recipients are Gombe, Ebonyi, and Nasarawa States that got N72bn, 73bn, and 73bn respectively. They are followed by Ekiti that got 74bn and Kwara 77bn.
The report further disclosed that Edo and Ondo which are oil-producing states got N99bn and N97bn respectively while another state in the South-South, Cross River State merely received N86bn in one year.
Read Also:FG, States’ debt profile rise to N32.92trn – NBS
The Economic Confidential, Nigeria’s intelligence economic magazine, gathered that factors that influence allocations to states and local government councils from the Federation Account include: Population, Derivation, Landmass, Terrain, Revenue Effort, School Enrolments, Health Facilities, Water Supply and Equality of the beneficiaries.
The Economic Confidential which is circulated at the monthly meeting Federation Account Allocation Committee (FAAC) has been publishing the monthly Federation Account Allocation figures since January 2007.
It also publishes the Annual States Viability Index (ASVI) which measures the survival of States on Internally Generated Revenue (IGR) without relying on Federally Collected Revenues, especially from the Federation Account.
Read Also:FG establishes 2 new universities of technology, upgrades 4 others
The Annual State Viability Index for 2020 will be released next week. The magazine is a sister publication of PRNigeria, a news release syndication platform.
Please see the Breakdown of the allocations to Federal Government, States, and their Local Government Councils in 2020 in the link and below:
Table of Federation Account: HowFG, States Shared N7.23tr in 2020.
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