Nigerian oil revenues fall
ABUJA, January 5, 2015 – The most recent economic report from the Central Bank of Nigeria (CBN) has shown that oil revenues have fallen by N132.5 billion ($720 million) from N602.5 billion ($3.28 billion) to N470 billion ($2.56 billion) between June and October 2014. Between March and May, revenues fell by N118.9 billion ($650 million), but rose by N32.2 billion ($180 million) in June before the current plummet.
Factors contributing to the fall, according to the December CBN report, include the drastic drop in global crude oil prices along with a fall in receipts from the Petroleum Profit Tax and royalties. The decrease in revenue was 21.3 percent lower than the federal government’s budget estimate for October 2014.
The federal government’s retained revenue from crude oil in October was N278.79 billion ($1.52 billion), but its expenditure was N320.73 billion ($1.75 billion), which accounts for a federal deficit of N41.94 billion ($230 million) for the month’s fiscal operations.