Federally collected revenue hits N795.31bn in April

Federally collected revenue hits N795.31bn in April

Federally collected revenue was N795.31 billion for the month of April 2019, dropping below its monthly budget projection, according to the Monthly Economic Report of the Central Bank of Nigeria (CBN).

The report stated that the drop was as a result in the falling oil price in the international market within the period. Oil price has been trending downwards due to increased production and output by the United States.

The price of Brent crude has so far declined by more than 21 per cent this year, selling at $61 per barrel yesterday.  According to the Monthly Economic Report, federal revenue was below the monthly budget estimate by 28.2 per cent, but exceeded the receipts collected in March 2019 by 3.6 per cent.

The report noted that at N795.31 billion, the estimated federally-collected revenue (gross) in April 2019 fell below the provisional monthly budget estimate of N1.107 trillion by 28.2 per cent. However, it exceeded the receipt of N767.90 billion in the preceding month by 3.6 per cent.

The decrease, relative to the provisional monthly budget estimate, was attributed to a shortfall in both oil and non-oil revenue. Oil receipts, at N472.38 billion or 59.4 per cent of total revenue, was below both the provisional monthly budget estimate and the preceding month’s receipt of N516.88 by 26.2 per cent and 8.6 per cent, respectively.

The fall in oil revenue relative to the provisional monthly budget estimate was attributed to the shut-ins and short-downs at some NNPC terminals due to technical issues, leakages and maintenance.

Similarly, at N322.93 billion or 40.6 per cent of total revenue, non-oil revenue was below the provisional monthly budget estimate of N466.91 billion by 30.8 per cent, but exceeded the preceding month’s receipt of N251.01 billion by 28.7 per cent. The lower collection relative to the provisional monthly budget estimate was due to the shortfalls in Corporate Tax, VAT, FGN Independent Revenue and Education Tax.

Meanwhile, total assets and liabilities of banks rose slightly by 0.1 per cent in March 2019. According to the report, total assets and liabilities of the banks amounted to N38.432 trillion at end-March 2019, showing a 0.1 per cent increase, compared with the level at the end of the preceding month.”

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