August 6, 2020

deficit spending rises 6% to N1.46trn in 1st quarter

The fiscal spending of the Federal Government (FG) rose by six percent, year-on-year (YoY) to N1.46 trillion in the first quarter of the year (Q1’2020) from N1.13 trillion in the corresponding period of last year.

The increase in deficit spending was in spite eight percent, YoY,  increase in oil revenue and 5.1 percent (YoY) increase in Federally Collected revenue during the period.

The Central Bank of Nigeria (CBN) disclosed this in its Quarterly Economic Report for Q1’2020 released yesterday.

The report showed that the FG recorded 23.5 percent, YoY decline in revenue to N864.9 billion in Q1’2020 from N1.13 trillion in the corresponding period of 2019. But it fell by 39 percent, Quarter-on-Quarter (Qo)  when compared with the retained revenue of N1.41 trillion recorded in Q4’2019.

The report also showed that the FG recorded 7.5  percent, YoY decline in expenditure to N2.327 trillion  in Q1’2020 from N2.513 trillion  in the corresponding period of 2019. But it fell by 7.1 percent, Quarter-on-Quarter (Qo)  when compared with the expenditure  of N2.67 trillion  recorded in Q4’2019

Consequently, the FG recorded deficit spending rose by six percent, year-on-year (YoY) to N1.46 trillion in the first quarter of the year (Q1’2020) from N1.13 trillion in the corresponding period of last year. But it dropped  by 21 percent, QoQ when compared with the deficit spending of  N1.21 trillion recorded in Q4’2020.

Leave a Reply

Your email address will not be published. Required fields are marked *

%d bloggers like this: