FG records N1.29trn revenue shortfall in 90 days
The Federal government records N1.29trillion shortfall in revenue collection in the 90 days of the 3rd quarter of 2020, which represents a 42% decline in projection.
The deficit spending recorded in the period represents a slight increase when compared with the N1.25 trillion recorded in Q2’20.
Central Bank of Nigeria (CBN) disclosed this in its economic report for Q3’20, saying that the FG recorded N842.09 billion revenue in Q3’20 which is 42.3 percent less than the budget benchmark of N1.458 trillion.
The apex bank blamed the poor revenue performance on the lingering effect of COVID-19 on economic activity, which caused 75 percent shortfall in collection from FG’s independent revenue sources.
CBN stated: “Given declining revenue and relatively high expenditure profile, the fiscal operations of the FGN in the review period resulted in a provisional deficit of N1.289 trillion.
“This represented 3.6 per cent and 47.0 per cent increase above the revised budget benchmark and the level in the corresponding period of 2019, respectively.
Call 0803 239 3958 for free financial consulting advice for your businesses. Attend our bi-monthly Peachtree Sage 50 accounting and reporting seminar.
Reach us or send your financial updates and articles to firstname.lastname@example.org.