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FAAC: FG, States, LGAs Shared N8.5tr In 2018 Says NEITI

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 by Lukman Amusa

The Nigeria Extractive Industries Transparency Initiative (NEITI) in its latest quarterly review has disclosed that the Federation Allocation Account Committee (FAAC) has disbursed N8.52 trillion to the three tiers of government and other beneficiaries in 2018.

It added that the figure makes it the first time since 2014, that disbursements would exceed N2 trillion in three consecutive quarters.

The N8.52 trillion, NEITI noted, also represents 32.8 per cent increase when compared to N6.418 trillion disbursed in 2017 and 67.1 per cent higher than N5.1 trillion shared in 2016.

A further breakdown of the FAAC disbursements showed that the Federal government received N3.483 trillion in 2018 representing 41 per cent while the 36 States received the sum of N2.85 trillion, representing 33.4 per cent and the 774 local governments got N1.667 trillion, representing 19.6 per cent.

On the states’ share of the FAAC disbursements, the review disclosed that five states received higher than N100 billion each in 2018. The States were Lagos (N119 billion), Bayelsa (N153.1 billion), Rivers   (N172.6 billion), Akwa Ibom (N202.4 billion), Delta (N213.6 billion).

The NEITI publication further disclosed that twenty-three states received less than N60 billion each as total FAAC receipts in 2018. A break down shows that Cross River, Ekiti and Ogun states received N37 billion, N39.3 billion and N39.6 billion respectively. Eight states namely: Zamfara, Gombe, Plateau, Kwara, Ebonyi, Nasarawa, Taraba, and Adamawa, received between N40 billion and N49.9 billion.

Twelve states received between N50 billion and N59.9 billion: Yobe, Enugu, Kogi, Bauchi, Imo, Sokoto, Kebbi, Anambra, Abia, Benue, Niger and Oyo. In addition, six states (Jigawa, Katsina, Borno, Ondo, Kaduna, and Edo) received between N60 billion and N69.9 billion. It further disclosed that Kano State received a total of N84.2 billion in 2018.

A close look at the disbursements to states indicated a wide disparity, with Osun State receiving the lowest net allocation of N22.8billion while Delta State received the highest net allocation of N213.6 billion, ‘‘meaning net disbursement to Delta State was 935% of Osun State’s,” the NEITI review added.

NEITI added that it analysed disbursements from FAAC in 2018 and made revenue projections for 2019.

The publication observed that government revenues have continued to be on the increase since 2017. “The rebound in federation revenue continued as a result of increases in both oil and non-oil revenue”, the review stated.

A quarterly breakdown of disbursements in 2018 showed a steady increase in the amount disbursed throughout the year. For instance, in the first quarter of the year, FAAC shared   N1.938 trillion, while N2.008 trillion was disbursed in the second quarter. Disbursements in the third and fourth quarters were N2.278 trillion and N2.299 trillion respectively.

The NEITI review disclosed that: “there were three consecutive quarters in 2018 when total disbursements exceeded N2 trillion”, observing that the last time this happened was in the third quarter of 2014.

The publication also stated that: “with the exception of the third quarter of 2017, the N2.299 trillion disbursed in the fourth quarter of 2018 was the highest quarterly disbursement since the second quarter of 2014”.

The NEITI publication however noted with concern that despite the upward trajectory in FAAC disbursements to the three tiers of government, the disbursements were inadequate to meet states’ budgetary requirements.

“Clearly, there was no state that could adequately finance its budget solely from FAAC disbursements. There were three states where FAAC disbursements were more than 50% of their budgets: Delta, Enugu, Yobe. For all other states, disbursements were less than 50% of their budgets”, the NEITI publication noted.

On internally generated revenues (IGR), the NEITI review further remarked that it was highly unlikely that IGR would be able to make up for the shortfall in FAAC disbursements to states.

From the review, only four states (Cross River, Lagos, Ogun and Rivers) had estimated IGR that was more than 50% of their FAAC allocations. Out of these states, only Lagos and Ogun had IGR that was actually higher than their FAAC allocations.

The NEITI review further revealed that estimated IGR in six states (Enugu, Kaduna, Kano, Kwara, Osun, Oyo) was more than 40% of their FAAC allocations. The review noted that for these ten states listed, there is a probability that actual IGR may be sufficient to address the budgetary gaps in FAAC disbursements.

On revenue projection in 2019, NEITI Quarterly Review predicts an upward trend in revenue receipts into the government coffers from oil and gas sector as well as the attendant increases in FAAC disbursements.

“FAAC disbursements will increase further in 2019. This is largely due to expected increase in Nigeria’s oil production and further consolidation of efforts by OPEC to keep oil prices from falling”, the NEITI publication stated.

“With the concerted efforts by the Organisation of Petroleum Exporting Countries to limit oil production, coupled with sanctions on Iran and Venezuela oil exports, it is expected that oil prices will not fall to the very low levels experienced from 2014 to 2017”, it further explained.

At the domestic level, NEITI is optimistic that oil production will   increase in 2019 given the take-off of Egina offshore field, which started production in December 2018, with optimum production capacity of 200,000 barrels per day.

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Access Bank to Host Pioneering Africa Trade Conference in Cape Town

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Access Bank to Host Pioneering Africa Trade Conference in Cape Town

AJAGBE ADEYEMI TESLIM

SPONSORED BY: H&H

Access Bank PLC is set to host its first-ever Africa Trade Conference (ATC), a landmark event focused on advancing Africa’s economic transformation under the theme, ‘Empowering Africa Through Trade, Innovation, and Sustainable Growth’. Scheduled for March 12, 2025, in Cape Town, South Africa, the conference is poised to bring together the most influential voices in trade, finance, and policy to address the future of commerce across the continent.

With Africa’s trade finance gap estimated at $81 billion annually, the conference aims to tackle the systemic challenges hindering trade, particularly for SMEs and domestic firms. By fostering collaboration among key stakeholders, the Conference will explore innovative solutions, sustainable trade practices, and strategies for expanding African economies into global value chains.

Roosevelt Ogbonna, Group Managing Director/Chief Executive Officer, Access Bank PLC, emphasised the importance of the Africa Trade Conference, in addressing these pressing issues. “The Africa Trade Conference represents a crucial step in redefining Africa’s trade potential. By creating platforms for dialogue, innovation, and actionable solutions, Access Bank is enabling African businesses to connect and thrive in the global economy.”

Access Bank’s presence across 24 countries globally, including 16 in Africa, provides a unique advantage in facilitating inter- and intra-African trade. The Bank’s growing network positions it as a key player in addressing trade complexities and promoting inclusive growth across the continent.

Seyi Kumapayi, Executive Director, African Subsidiaries, Access Bank, highlighted the broader vision of the forum, saying, “The Africa Trade Conference is a platform to not only address Africa’s trade challenges, but to champion the continent’s opportunities. Through strategic partnerships, tailored financial solutions, built on the ethos of sustainability, we are paving the way for Africa’s businesses to take their place on the global stage.”

This flagship event will convene a distinguished line-up of seasoned speakers, and top executives from leading international banks, Development Finance Institutions (DFIs), and captains of industry in Africa.

The ATC will also shine a spotlight on the transformative potential of the Africa Continental Free Trade Area (AfCFTA), which aims to reduce trade barriers, enhance infrastructure, and integrate African economies into global trade networks.

Furthermore, the event will explore critical themes shaping the continent’s economic future, including the transformative role of digitisation and innovation in global trade, solutions for overcoming trade barriers to enhance market access, as well as sustainable trade practices and innovative financing models, thereby providing a comprehensive roadmap for advancing Africa’s position in global commerce. Please visit https://africatradeconference.accessbankplc.com/ for more information.

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Union Bank Rewards 360 Customers with N21 Million in First Save and Win Palli Promo 4 Draw

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Union Bank Rewards 360 Customers with N21 Million in First Save and Win Palli Promo 4 Draw

AJAGBE ADEYEMI TESLIM

SPONSORED BY: H&H

Union Bank, Nigeria’s leading financial institution, has kicked off its Save and Win Palli Promo 4campaign on a high note following the announcement of its first set of winners in its inaugural monthly draws.

The first live draw of this season, which took place at the Bank’s Head Office in Marina, Lagos, rewarded 60 customers with ₦100,000 each. Additionally, 300 other winners went home with ₦50,000 worth of gift vouchers during the inaugural live draw, which was conducted transparently and digitally under the supervision of relevant regulatory bodies. The winners cut across the nation.

Speaking at the first monthly draw, Gloria Omereonye, Union Bank’s Area Business Executive for Lagos Island 1, stated, “Union Bank is always dedicated to rewarding customers for their loyalty and financial discipline.

We are pleased that our promo has continued to achieve its noble goals of providing succour to our customers through our gifts and rewards, especially in these economically trying times, while facilitating a sustainable savings culture for future goals and objectives.”

Save & Win Palli Promo is a nationwide campaign designed to reward both new and existing customers with cash prizes. Season 4, which began in December 2024 and runs until May 2025, offers customers the opportunity to win ₦131 million in cash prizes, Motorcycles, Tricycles, Fuel Vouchers, and a star prize of ₦5 million, which will be handed out to three lucky winners at the grand finale.

Open to new and existing customers, the Save and Win Palli Promo requires participants to save a minimum of ₦10,000 and perform a minimum of five transactions monthly to qualify for draws. Monthly winners can receive ₦100,000, while quarterly draws will reward lucky savers with Motorcycles, Tricycles, and other exciting prizes.

Customers who save in multiples of ₦10,000 will increase their chances of winning.

New customers can join the promo by downloading the UnionMobile app to open an account or visiting any Union Bank branch.

Existing customers can reactivate accounts by calling the 24-hour Contact Centre at 07007007000 or visiting a branch.

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Access Bank Clinches THISDAY’s ‘Global Bank of the Year’ Award, Aig-Imoukhuede is Named ‘Titan of the Year’

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Access Bank Clinches THISDAY’s ‘Global Bank of the Year’ Award, Aig-Imoukhuede is Named ‘Titan of the Year’

AJAGBE ADEYEMI TESLIM

SPONSORED BY: H&H

Access Bank PLC (‘the Bank’), the flagship subsidiary of Access Holdings PLC (‘the Company’), has been honoured with the prestigious THISDAY Global Bank of the Year award for 2024, recognising its significant impact on the global banking landscape.

R-L: Roosevelt Ogbonna, Group Managing Director, Access Bank PLC; Tochi Wigwe, Daughter of Herbert Wigwe, former Group CEO, Access Holdings; Maame Saarah Buckman; Aigboje Aig-Imoukhuede, Chairman, Access Holdings PLC; Aigbovbioise Aig-Imoukhuede, Managing Director, Coronation Asset Management Limited, and Funke Aigbovbioise Aig-Imoukhuede,  at the THISDAY Awards 2025 where Access Bank won Global Bank of the Year award and Aig-Imoukhuede was named Titan of the Year, in Lagos… Monday night

In addition, Aigboje Aig-Imoukhuede, Chairman of Access Holdings, received the distinguished THISDAY Titan of the Year award for his exceptional contributions to the banking sector in 2024.

At THISDAY Awards 2025, Access Bank emerged victorious, surpassing African Export-Import (AFREXIM) Bank and United Bank for Africa (UBA) to claim the coveted title. The prestigious award ceremony, held at Eko Hotels & Suites in Victoria Island, Lagos, marked the 30th anniversary of THISDAY Newspapers and the 12th anniversary of Arise News Channel, with the theme, “When the Going Gets Tough… The Tough Get Rewarded.”

THISDAY Newspapers highlighted Access Bank’s nomination, praising its strategic leadership, rapid expansion, and unwavering commitment to innovation and sustainability. The bank’s leadership in digital banking was also recognised, with Access Bank receiving multiple accolades, including the 2024 Digital Jurist Award for Best Digital Bank.

In addition to its achievements in digital banking, Access Bank has demonstrated a strong commitment to environmental, social, and governance (ESG) principles, earning the 2024 Euromoney Award for Best Bank for ESG in Nigeria and Ghana.
With an expanding international presence in the United Kingdom, Ghana, United Arabs Emirates, China, and several African nations, Access Bank continues to solidify its position as a major global banking player.

Lagos State Governor, Babajide Sanwo-Olu (left) and Aigboje Aig-Imoukhuede, Chairman, Access Holdings PLC, exchanging pleasantries at the THISDAY Awards 2025 where Access Bank won Global Bank of the Year award and Aig-Imoukhuede was named Titan of the Year, in Lagos… Monday night

The bank’s innovative approach is further evidenced by its cutting-edge technological initiatives, including Facepay, Access Closa, the AccessMore mobile app, and Africa Fintech Foundry—further establishing Access Bank as a leader in technological advancements, and underscoring its deserving recognition as Global Bank of the Year.

During his acceptance speech, Access Bank’s Managing Director and CEO, Roosevelt Ogbonna, expressed his gratitude to the public, THISDAY Newspapers, and Arise Media Group for the recognition. He remarked, “This award represents 30 years of hard work of doing things differently, and of building on the legacy of industry giants like Aigboje Aig-Imoukhuede and Herbert Wigwe. We are deeply grateful to our board, management, customers, and stakeholders, who have continuously supported us. This award is for you, and we accept it in your honour.”

In a similar vein, Aigboje Aig-Imoukhuede, along with 11 other influential leaders, was recognised with the THISDAY Titan of the Year award for 2024. Reflecting on his journey, Aig-Imoukhuede shared, “In 1991, Prince Obaigbena and I first met as customer and banker. He told me that anyone fortunate enough to manage his account would one day become a managing director of a bank, and I am thankful that God fulfilled that vision. It is an incredible honour to stand with such esteemed colleagues.”

The star-studded event, which brought together dignitaries from both the private and public sectors, celebrated excellence, innovation, and leadership across industries and the political landscape.

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