The Federal government spent N2.02tn on debt servicing in the first six months of this year.
This figure represents 90.58 per cent of the total revenue of N2.23tn generated by the federal government within the period, a development which experts said signified a dangerous trend for the economy.
Technical Adviser to the Director General of the Budget Office, Alfred Okon, disclosed the figure while presenting the “Overview of FGN 2022 Budget Call Circular” report.
The report stated that as of June 2021, the Federal Government’s retained revenue was N2.23tn, which is 67.58 per cent of prorata target of N3.3tn for the review period. This means that the Federal Government failed to realise N1.07tn of its revenue target in the first half of the year.
The total revenue comprises oil revenue of N492.44bn, non-oil tax revenue of N778.18bn, Company Income Tax of N397.02bn, Value Added Tax of N129bn and Customs collections of N234.02bn.
Other revenues amounted to N922.09bn, of which independent revenues accounted for N558.13bn.