Nigeria’s distributable revenue rose by 3.4 percent in December

0
1304
Pic.9. Minister of Finance, Mrs Kemi Adeosun (L) and Permanent Secretary in the Ministry, Mr Mahmud Dutse, at a Briefing on Independent Revenue in Abuja on Thursday (1/12/16). 8783/1/12/2016/Jones Bamidele/BJO/NAN

ABUJA Jan 20  – Nigeria’s distributable revenues to the government rose in December by 3.4 percent to 400 billion naira ($1.31 billion) as the country collected more royalties from oil, the minister of finance said in a statement on Friday.

“Collection from royalties increased significantly,” Minister of Finance Kemi Adeosun said in the statement.

Average oil prices rose from $47.08 to $47.30 per barrel during December, but that was offset as total crude export volume dropped 1.39 million barrels, causing export sales to fall $65.4 million, she said.

Nigeria, which has Africa’s biggest economy, is an OPEC member that relies on crude oil sales for two-thirds of government revenue. As a result, it has been hit hard by the fall in global crude prices since mid-2014.

Militants have carried out attacks on oil and gas facilities in the southern Niger Delta energy hub for a year, cutting oil production – which stood at 2.1 million barrels per day at the start of 2016 – by more than a third earlier this year.

The frequency of attacks has slowed in recent months amid talks between the government and Delta community leaders to address the grievances of militants who want the oil hub to receive a greater share of the country’s energy wealth.

Repairs on damaged facilities are underway, while force majeure remains in place at Forcados, Qua Iboe and Brass oil terminals.

“Federation revenue was negatively affected by several shut-ins and shut-downs of pipelines for repairs and maintenance due to leakage and sabotage,” said Adeosun in Friday’s statement.

The total revenue distributable – including 79.273 billion naira of value-added tax – is 400 billion naira, she said. ($1 = 304.4800 naira)

 

SHARE
Previous articleEcobank Masterpass QR records high patronage
Next articleSenegal reach Nations Cup quarters, Algeria on the brink
Godwin Okafor is a Financial Journalist, Internet Social Entrepreneur and Founder of Naija247news Media Limited. He has over 16 years experience in financial journalism. His experience cuts across traditional and digital media. He started his journalism career at Business Day, Nigeria and founded Naija247news Media in 2010. Godwin holds a Bachelors degree in Industrial Relations and Personnel Management from the Lagos State University, Ojo, Lagos. He is an alumni of Lagos Business School and a Fellow of the University of Pennsylvania (Wharton Seminar for Business Journalists). Over the years, he has won a number of journalism awards. Godwin is the chairman of Emmerich Resources Limited, the publisher of Naija247news.

LEAVE A REPLY

Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.