About N500bn was deducted from the Federation Account Allocation Committee (FAAC) revenue for May 2026 to finance a national security emergency intervention before funds were shared among the Federal Government, states, and local government councils.
Officials familiar with the development said the deduction was made upfront during the FAAC process, with the security intervention fund accounting for a significant portion of the gap between total revenue generated and the final distributable amount.
Documents from the FAAC meeting further showed that an additional N250bn was allocated to a Military Intervention Fund, while N252bn went to an Infrastructure Development Fund for states. Another N450bn was transferred to the Non-Oil Excess Revenue Account.
Altogether, the major deductions and transfers amounted to approximately N952bn, significantly reducing the total revenue available for distribution in the month under review.
After all deductions and statutory adjustments, the remaining distributable revenue for May 2026 stood at N2.3tn, which was shared among the three tiers of government according to the revenue-sharing formula.
Under the allocation, the Federal Government received N818.68bn, states got N759.14bn, and local government councils received N534.28bn, while oil-producing states received N188.13bn as 13 per cent derivation revenue. The development comes amid continued nationwide security challenges, including insurgency, banditry, kidnappings, and resource-related violence, with government authorities sustaining increased spending on security operations and military procurement.
Elijah Adeyemi
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