Delta, Kano, Seven Other States Earned N5.1tn As Rivers Took Highest Loan In Three Years
The Nigeria Extractive Industries Transparency Initiative has revealed that nine states generated a combined revenue of N5.1trn in three years between 2017 to 2019.
The states are Akwa-Ibom; Bayelsa; Delta; Gombe; Imo; Kano; Nasarawa; Ondo and Rivers states.
According to the Fiscal Allocation and Statutory Disbursement Report released by NEITI, the revenue came from statutory allocation, internally generated revenue and loans.
NEITI said out of the N5.104trn generated between 2017 to 2019, N3.55trn was from FAAC, while N1.33trn and N227bn came from IGR and loans respectively.
The report revealed that Delta State recorded the highest revenue of N1.083tn, while Nasarawa State recorded the lowest revenue of N214bn.
Delta State also received the highest allocation from FAAC during the three years period with a total of N712.6bn. Akwa Ibom State was second with over N677.76bn, while Nasarawa received the least inflows at N156.64bn.
According to the report, Rivers State collected the highest loan of N79.124bn within the period, while Kano State was the only state in the country that did not collect loans within the period under review.
Ondo State did not borrow in 2017 and 2018, but it borrowed over N17.8bn in 2019.
The report further stated that Bayelsa State was the most dependent on FAAC allocations, posting an average of 90 per cent FAAC disbursement to the total revenue profile for the three years period. Ondo State posted the least dependence on FAAC allocations.
NEITI report disclosed that the nine selected states were over reliant on revenues from the federation account by over 71 per cent.
The recurrent expenditure from the nine states was N2.89trn while capital expenditure and loan repayments were N2.059trn and N250bn respectively.
The NEITI report also noted that 81 per cent of allocations to the states were used for recurrent expenditure.
It said, “IGR per state shows that Rivers State generated the highest sum of N344.38bn within the three years period, while Imo state recorded the lowest amount of IGR of N35.006bn within the period.
It added, “The states showed remarkable improvement when compared to their performance during the 2012-2016 FASD audit exercise, a positive sign that the states are gradually paying attention to their IGR potentials.”