The surprise thirty-two per cent jump in Federal Account Allocation Committee (FAAC) disbursements to the three tiers of government in June was a result of a more transparent reporting of the federation’s gross revenues BusinessDay can report.

The unexplained rise at a time of a continued fall in international crude oil prices left many analysts wondering but investigation by BusinessDay has showed that the transparent reporting method imposed by the two-month old Buhari administration meant that revenues that were hitherto unaccounted for, had to be brought into the collective pool for sharing. The total disbursable fund for June amounted to N539bn or $2.71bn, up by 32 per cent from the level for May.

The statutory allocation, the largest element of the payment, brought an increase of N162b or the equivalent of $810m on May revenues.
A state like Edo, for instance saw its June allocation rise significantly, by more than N500m and governor Adams Oshiomhole who confirmed the development was unequivocal that the additional funds would not have come in if government agencies were left to account for their revenues in their old ways.

“I can tell you that my state got much more than it would normally get and this additional funds came because they (federal agencies) could no longer hide or cook their books”, the governor told BusinessDay in Ndola, Zambia, on the sideline of the commissioning of the 1.5MT cement plant build by Dangote Cement.
The governor, who is one of those selected by the National Economic council to beam a searchlight on the irregularities in flows into FAAC, added, “we are already seeing the benefit of the attitude of the Buhari administration to our collective resources and this is welcome, especially because we have just started and their scope for getting better. We all can now see that the days of impunity are gone.”

Governor Oshiomhole’s explanation has helped to shed light on the jump in the federal allocation disbursement.
In its August 5 daily note, FBN Capital had said, “we struggle to explain the marked increase in the allocation which is predominantly derived from the oil industry.”
On Friday, FBN Capital welcomed the recovery in foreign reserves, which rose $2.5bn in July to $31.5bn on a 30-day moving average basis.
FBN Capital said the increase in reserve couldn’t be explained by just the savings from the ban on 41 items, which hitherto accounted for about $900m in FX utilisation per month, on the basis of figures for Q1.
Analysts at FBN Capital said, “we have to look elsewhere for additional explanations for the pick up in reserves in July.”

http://businessdayonline.com/2015/08/cash-going-to-states-from-faac-rising-on-fear-of-buhari/#.Vck2F4Eo7qA

Goodnight dear people of Nairaland Kingdom.

Snoring

I kinda find this new-found political loudness of Oshiomole suspicious, is he eyeing something after his tenure expires


Back to the topic, this is good news. We all know that so much of our resources was being siphoned by those that called themselves Jonathan's supporters.
They were using their superior knowledge to cheat him and therefore Nigerians.

Little by little.

Did Oshiomole not say he has not seen one kobo?

They tell us this and that, promised us this and that, we are tired of this bullsh!t. We want to see steady power, good road and the water running, youth off the street for good job.

Until then, whether PDP or APC! Na the same people!

Wonderful!

At the rate PMB is going and if he sustains the tempo, soon there will be no vacancy in Aso Rock in 2019.

Now owing states should start doing the needful

When you have someone who doesnt tolerate nonsense at the helm of affairs everyone sits tight so they wont be made the scapegoat, not like a clueless ogogoro drinker who is being controlled by his wife

Was rome built under 2 months Atleast everyone on here had been commending the improvement in power sector even TANOIDS so chill its just 2 months out of 4 years if not 8 years gan.

estyvino:
They tell us this and that, promised us this and that, we are tired of this bullsh!t. We want to see steady power, good road and the water running, youth off the street for good job.

Until then, whether PDP or APC! Na the same people!

We dey here dey look una.