Nigeria realises N2.432 trillion oil revenue between January, April

N622.9 billion was made from gross oil revenue receipts for April alone.

The latest monthly Economic Report by the Central Bank of Nigeria, CBN, showed that about N622.9 billion was made from gross oil revenue receipts for April alone.

The figure was lower than about N689.1 billion realised in March by about 9.6 per cent, though higher than the level attained in the corresponding period of 2013.

About N482 billion and N 637.8 billion were realised as oil revenues for January and February respectively.

The oil revenue receipts for April, the report stated, constituted about 67.6 per cent of the total revenue of N922.1 billion realised during the month.

A breakdown of the total revenue for the month also included about N299.2 billion realised from revenues from non-oil sector sources.

According to the report, gross federally-collected revenue of N922.1 billion in April 2014 showed a 5.3 per cent increase above the revenue receipt of N875.4 billion recorded in March.

The decline in oil receipts for the month, the report noted, was attributed to the shortfall in receipts from crude oil exports and a drop in oil production capacity due to incessant petroleum products pipeline vandalism in the Niger Delta region.

Further analysis of the earnings showed that the revenues came from four main sources: crude oil and gas sales, domestic crude oil and gas marketing activities, earnings from petroleum profit tax, PPT, and royalties’ collection and revenues from other sources.

Details showed that crude oil and gas sales fetched the Federal Government about N718.6 billion between January and April, while domestic crude and gas marketing activities raked in about N501.6 billion in government coffers for the corresponding period.

Earnings from PPT and oil royalties for the four months period was about N1.161 trillion, while revenues from other sources was only N32.8 billion.

From the total revenue between January and April, the Federal Government was allocated a total of N1.234 trillion against total expenditure of over N1.664 trillion, a shortfall of about N429.8 billion.

For April 2014, the Federal Government’s estimated retained revenue was about N403.84 billion, while total estimated expenditure was N493.26 billion.

The figures showed an estimated deficit of N89.42 billion, compared with a deficit of N205.6 billion recorded March; N57.8 billion in February, and N77 billion in January.

The total estimated expenditure of about N493.26 billion for April, the report stated, was higher than the level in March by 1.0 per cent, though lower than the level in the corresponding period of 2013 by 6.1 per cent.

A breakdown of total expenditure showed that the recurrent expenditure accounted for 84.3 per cent, while the capital expenditure and transfer components accounted for the balance of 9.8 and 5.9 per cent
respectively.

Equally, non-debt obligations accounted for 76.6 per cent of the total recurrent expenditure, while debt service payments accounted for the balance of 23.4 per cent.

About N530.10 billion of the gross federally-collected revenue for April (after all deductions and transfers) was transferred to the Federation Account for distribution among the three tiers of government and allocation to the 13 per cent Derivation Fund.

During the month, the report said the Federal Government received about N249.08 billion, while the state and local governments received N126.34 billion and N97.4 billion, respectively. The balance of N57.27 billion was credited to the 13 per cent Derivation Fund for distribution to the oil-producing states.

The report also showed that the Federal Government retained allocation of N403.84 billion from the Federation Account for April exceeded the receipts in the preceding month and the corresponding period of 2013 by 42.8 and 18.1 per cent, respectively.

Of the total amount, the Federation Account accounted for 61.7 per cent, while FGN Independent Revenue, Subsidy Reinvestment and Empowerment Programme, SUREP, and Value Added Tax, VAT Pool Accounts, accounted for 32 per cent, 4 per cent and 2.3 per cent respectively.

The performance of the petroleum sector in April 2014 showed that country’s crude oil production, including condensates and natural gas liquids, averaged about 1.90 million barrels per day (MBD), or 57.0 million barrels for the month.

This was about 0.05 MBD, or 2.6 per cent lower than the 1.95 MBD or 60.45 million barrels produced in March.

Crude oil export was estimated at 1.45 MBD or 43.5 million barrels for the month, representing a decrease of 3.3 per cent, compared with 1.50 MBD, or 46.5 million barrels recorded in the preceding month.

Deliveries to the refineries for domestic consumption for the month remained at 0.45 MBD or 13.5 million barrels.

The country’s gross external reserves during the month showed a 0.8 per cent decline to $37.11 billion (N6.07 trillion) from the previous level in March, and about 22.5 per cent below the levels in the corresponding period of 2013.

Details of the reserves showed that the Federation Account portion (Excess Crude) stood at about $3.81 billion (N623 billion) or 10.3 per cent, Federal Government holding was $3.53 billion (N578 billion), or 9.5 per cent, and CBN reserves stood at $29.75 billion (N4.87 trillion), or 80.2 per cent.

See visual illustration below: