Nigeria’s deficit increased by 0.1% to N824.79bn in April – CBN

Nigeria’s federal government fiscal deficit increased on a month-on-month by 0.1 percent to N824.79 billion in April 2024.

The Central Bank of Nigeria disclosed this in its recently released April 2024 Monthly Economic Report.

The report showed that the country’s deficit was 7.92 percent higher than the budgeted N764.19 billion for the period.

The bank also said consumer credit outstanding declined significantly by 53.83 percent to N3.8 trillion at the end of April 2024 from the level in the preceding month.

According to the CBN, the expansion in deficit was due to a 0.55 percent MoM decline in retained revenue to N419.91bn in April from N422.23 billion in March.

The apex bank said the decline in revenue was a result of lower receipts from exchange gains.

“The fiscal operations of the Federal Government of Nigeria, in April resulted in an expansion in the fiscal deficit.

“Provisional data showed that primary and overall deficits rose to N260.98bn and N824.79bn, respectively, from N249.43bn and N823.91bn in the preceding month. The expanded deficit reflected the sharper decline in retained revenue,” it said.

The report added that “FGN retained revenue also dipped in the review period due to lower receipts from exchange gains.

“Provisional data indicated that, at N419.9bn, FGN retained revenue fell relative to the level in March 2024 and the monthly benchmark by 0.55 and 74.29 percent, respectively.”

Similarly, the apex bank noted that government expenditure for April declined MoM by 0.16 percent to N1.246 trillion from N1.244 trillion in March due to reduced capital spending.

“At N1,244.71 billion, provisional data indicated that expenditure was 0.12 percent below the level in the preceding month, and 48.10 percent short of the projected spending of N2,398.12 billion.

“The decline was attributed, largely, to a reduction in capital outlay in the review period. Further analysis showed that recurrent and capital accounted for 84.5 and 6.30 percent, respectively, while transfer payments constituted 9.2 percent,” it added.