November 21, 2024
Oil Revenue Surges by 200% as FG Earnings Soar to ₦12.5 Trillion
Business News

Oil Revenue Surges by 200% as FG Earnings Soar to ₦12.5 Trillion

Oil Revenue Surges by 200% as FG Earnings Soar to ₦12.5 Trillion

The Federal Government’s earnings have increased by 76%, rising from ₦7.1 trillion in 2022 to ₦12.5 trillion in 2023, driven by higher taxes and oil revenues. This was disclosed in the newly released 2025-2027 Medium Term Expenditure Framework and Fiscal Strategy Paper by the Ministry of Budget and Economic Planning.  

Oil revenue recorded a significant increase of 200%, climbing from ₦0.8 trillion in 2022 to ₦2.4 trillion in 2023, and accounting for 19.2% of total revenue. This growth is attributed to higher crude oil production, which rose from an average of 1.31 million barrels per day in 2022 to 1.41 million barrels per day in 2023.  

Non-oil revenue also showed strong performance, growing by 57.8% from ₦6.4 trillion in 2022 to ₦10.1 trillion in 2023, contributing 80.8% to the total revenue.  

In 2023, actual gross oil and gas revenue stood at ₦7.87 trillion, achieving 83.9% of the projected ₦9.38 trillion. After deductions, the net oil and gas revenue credited to the Federation Account was ₦4.93 trillion, which is 6.6% above the target. 

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