Internal Generated Revenue by State Government in H1 2020: Summary
The realities of the Covid-19 pandemic affected internally generated revenue across various states in Nigeria but in spite of the significant drop in revenue, the economy has rapidly gotten back up from the Q1 to the Q2.
The National Bureau of Statistics recently published the Internally Generated Revenue at State level for the Half year of 2020. The 36 states and FCT IGR figure hits N612.87bn in H1 2020 compared to the N693.91bn recorded in 2019. This shows us a negative growth of -11.7% from the previous year.
Likewise, statistics from Q2 2020 it showed that the states and FCT IGR figure hits N259.73bn compared to N353.14bn recorded in Q1 2020. Which shows us a negative growth of -26.5% quarter on quarter. Lagos State has the highest Internally Generated Revenue with N204.51bn recorded in H1 2020, closely followed by Rivers State with N64.59bn while Jigawa State recorded the least Internally Generated Revenue with N3,005,628,426.75.
It is very important for State Governments to look inward and seek to expand the capacity of local government councils in Nigeria to sustainably expand their Internally Generated Revenue, and also ensure that certain corrective measures are inhibited by the kind of strategies adopted and by some critical challenges facing them.
Once we divert our attention from Oil as our main source of revenue to the internally generated revenue (IGR) then we are on the road having a stable economy. Many states and local governments would be able to maximize their capabilities and stop depending on their monthly allocations from the central vault to carry out their businesses.