N7.3tn remitted to Federation Account in Q2 2023 amid revenue increase – RMAFC

The Revenue Mobilization Allocation and Fiscal Commission has said that N7.3 trillion was remitted into the Federation Account in the last six months of 2023, indicating an increased revenue inflow.

RMAFC Chairman, Mr Mohammed Bello Shehu, disclosed this in a statement on Thursday.

He stated that the amount the Federation Account Allocation Committee shared was remitted to the Central Bank of Nigeria under the caption “CBN Federation Account Component Statement”.

The commission reported that the amount is higher than the N5.24 trillion realised during the first half of 2023.

According to Shehu, out of the total gross revenue inflows into the Federation Account, N1.69 trillion was transferred to the Exchange Gain Differential Account, thus leaving a balance of N5.475bn for distribution.

On remittances by Revenue Generating Agencies, the RMAFC boss disclosed that out of the total gross revenue inflows into the Federation Account, the Nigerian National Petroleum Company Limited remitted N874 64bn in the second half of the year as against the zero-remittance made in the first half of the year.

Accordingly, the Nigerian Upstream Petroleum Regulatory Commission also remitted the sum of N1.56tn, while the Federal Inland Revenue Service remitted the sum of N3.65tn.

The government received a boost in its earnings following the removal of fuel subsidies and the current administration’s unification of the foreign exchange market in June last year.

He, however, urged that payment of the cost of collection to revenue-generating agencies should be tied to revenue performance targets.

“We strongly advocate that payment of the cost of collection to RGAs should be tied to revenue performance.

“In other words, each RGA should receive a cost of collection commensurate with the revenue generated against its revenue target, as provided for in the Appropriation Act,” he stated.