The three tiers of government drew about N2.054 trillion as statutory allocations from the federation account for the third quarter of the year 2020, the Nigerian Extractive Industries Transparency Initiative (NEITI) said in its latest quarterly review.
Since the COVID-19 pandemic-induced lockdown and its effect on the socio-economic activities, this is the first time the total disbursement for a quarter is exceeding N2 trillion.
The report released on Wednesday in Abuja showed about N812.22 billion went to the federal government, while the states got N676.5 billion, and the 774 local government areas received N429.16 billion.
The information and data are contained in the latest edition of NEITI’s quarterly review.
The total disbursements of N2.05 trillion in the third quarter of 2020 were 6.2 per cent higher than total disbursements of N1.93 trillion in the second quarter of 2020, and 5.6 per cent higher than total disbursements of N1.95 trillion in the first quarter of 2020, the report stated.
It, however, said that the disbursements in the third quarter of 2020 were lower than those of the corresponding quarters in 2019 and 2018 as a whole and to the three tiers of government.
According to the review, in the third quarter of 2020, disbursements were 9.6 per cent lower than the N2.27 trillion disbursed in the third quarter of 2019, and 9.8 per cent lower than the N2.28 trillion disbursed in the third quarter of 2018.
Explaining further, the review stated that the federal government received N812.22 billion in the third quarter of 2020, which was 11.7 per cent lower than the N920.2 billion, and 10.2 per cent lower than the N904.8 billion it received in the third quarters of 2019 and 2018 respectively.
The states, on the other hand, received a total of N676.5 billion in the third quarter of 2020, showing a decrease of 6.6 per cent when compared to the N724.16 billion they got in the third quarter of 2019, and 5.9 per cent lower than the N718.5 billion they received in the third quarter of 2018.
The local government areas got a total of N429.16 billion in the third quarter of 2020 and this was 9.6 per cent lower than the N441.19 billion they got in 2019 Q3, and 9.8 per cent lower than the N432.1 billion they received in 2018 Q3.
For the last quarter of 2020, the initiative projected that actual oil revenue is likely to continue to outperform the projected oil revenue.
However, it cautioned that even with the projected improvements in the fourth quarter of 2020, and based on the total revenues received in the first three quarters of the year, all tiers of government may struggle to meet the revenue projections in their revised budget for the year.