By Kingsley ighomwenghian, Business Editor
The Central Bank of Nigeria (CBN) estimates that activities of the Federal Government between October and December last year resulted in a deficit of N420.81 billion, or 3.8 per cent of estimated nominal GDP for the period.
According to its 2012 Fourth Quarter Economic Report pasted on its website, the CBN noted that while Abuja earned N821.24 billion in the period under review, total expenditure stood at N1.242 trillion.
“The development (relative to the quarterly budget estimate) was attributed to the non-release of capital warrant during the period,” the report added, with a breakdown of the expenditure showing that the recurrent component accounted for 71.7 per cent, capital component 24.5 per cent, and statutory transfers, for the balance of 3.8 per cent. The report further noted that the non-debt component of the recurrent expenditure stood at 86.6 per cent, while debt service payments accounted for the balance of 13.4 per cent.
Meanwhile, the CBN estimated total federally-collected revenue during the period stood at N2.413 trillion, “representing a decline of 0.4 and 13.3 per cent below the proportionate budget estimate and the level in the preceding quarter of 2012, respectively.
Of this amount, gross oil receipts was N1.823 trillion, or 75.6 per cent of the total, exceeding the proportionate budget estimate and the receipts in the corresponding period of 2011 by 9.9 and 151.2 per cent, respectively. It however declined by 5.8 per cent compared to the receipts in the preceding quarter.
Non-oil receipts accounted for N589.98 billion, or 24.4 per cent of the total, below the proportionate budget estimate and the receipts in the preceding quarter by 22.8 and 30.3 per cent, respectively.
The decline in non-oil revenue relative to the preceding quarter, the report noted “reflected, largely, the fall in Corporate Taxes, Federal Government Independent Revenue and Customs and Excise duties during the review period.”
Within the period also, the report estimated that currency in circulation rose by 21 per cent to N1.631 trillion in December, in contrast to a decline of 1.1 per cent at the end of the preceding quarter.