…As FAAC pays N1.298Tn into JAAC.
…After 3 months moratorium elapsed .
The Federal Government, through the Federation Accounts Allocation Committee, FAAC has continued to pay allocations meant for Local Governments into joint state and Local Government Government accounts.
This is despite the Supreme Court ruling in July, which ordered the Federal Government to make direct payments to Local Government accounts.
The latest payment, totalling N1.298 trillion for September 2024, was shared among Federal, State and Local Governments in Abuja, last Thursday.
The Supreme Court ruling in July 2024 directed the Federal Government to start direct payment of Local Governments’ monthly allocations into the individual accounts of the 774 Local Government councils.
The ruling aimed at granting autonomy to Local Governments and ensure transparent governance.
Shortly after the judgment was delivered, the Federal Government cited operational issues that needed to be sorted out before the direct payment could be implemented. A three-month window was created to resolve these issues. The moratorium elapsed last week, although the government at the grassroots are yet to receive funding directly.
The September 2024 FAAC allocation totaled N1.298 trillion. The Federal Government received N424.867 billion, while the State governments received N453.724 billion.
The Local Government councils received N329.864 billion, and N90.415 billion was allocated as derivation revenue.
The distributable revenue comprised N124.716 billion in statutory revenue, N543.518 billion in Value Added Tax (VAT) revenue, N18.445 billion in Electronic Money Transfer Levy (EMTL) revenue, N462.191 billion in Exchange Difference revenue, and N150.000 billion in augmentation.
