Lagos, 5 other States reportedly generate more IGR than 30 States combined
Lagos, 5 other States reportedly generate more IGR than 30 States combined
Lagos, five other states reportedly generate more IGR than 30 states combined
By Matthew Eloyi
The fifth Annual States Viability Index (ASVI) released by The Economic Confidential has shown that eight states are insolvent as their Internally Generated Revenues (IGR), in 2020 were far below 10 per cent of their receipts from the Federation Account Allocations (FAA) in the same year.
The index proved that without the monthly disbursement from the Federation Account Allocation Committee (FAAC), many States remain not viable, and cannot survive without the federally collected revenue, mostly from the oil sector.
The IGR of the 36 States of the federation totaled N1.3 trillion in 2020 was the same figure in 2019.
The report by the Economic Confidential, an intelligence magazine further indicates that the IGR of Lagos State of N418 billion is higher than that of 22 other States put together whose Internally Generated Revenues are extremely low, and poor compared to their allocations from the Federation Account.
Lagos remained steadfast in its number one position in IGR among the states with a total revenue generation of N418 billion compared to FAA of N299 billion which translates to 139 per cent in the twelve months of 2020.
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It is followed by Rivers State which generated IGR of N117bn compared to its FAA of N198bn representing 58 per cent; Ogun with N50bn compared to FAA of N88 billion representing 57 per ; Kaduna State with N50 billion compared to FAA of N124 billion representing 40 percent; Oyo with IGR of N38 billion compared to FAA of N127 billion representing 29.7 per cent and Anambra generated N28 billion compared to FAA of N94 billion representing 29.6 per cent.
The total internally generated revenues of the six most viable states in 2020 at N695 billion as computed by the Economic Confidential was more than the entire IGR collected by the remaining 30 States put together which was less than N600 billion.
Others with impressive IGR include Edo with IGR of N27 billion compared to FAA of N99 billion representing 27 per cent; Enugu with IGR of N23 billion compared to FAA of N87 billion representing 27 per cent; Ondo with IGR of N24 billion compared to FAA of N97 billion representing 25.6 per while Kwara State earned N19 billion IGR against FAA of N77 billion representing 25.5 per cent.
