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NIGERIA TO ISSUE NEW OIL EXPLORATION LICENCES TO FUND 2017 BUDGET

Nigeria will issue new oil exploration licences as part of efforts to find new revenue streams of revenues to fund the 2017 budget, says Budget and National Planning Minister Udoma Udo Udoma.

Appearing before the Senate Joint Committee on Appropriation and Finance to defend the revised Medium-Term Expenditure Framework (MTEF) and the Fiscal Strategy Paper (FSP) here Tuesday, he said the Federal Government would also review the current joint venture arrangements with oil companies, development of marginal oil fields as well as exert pressure on revenue-generating agencies to surpass expected targets.

Udoma said a total of 10 trillion Naira (about 31.75 billion US dollars) was being targeted by the Federal Government as revenue for the 2017 fiscal year. Of this amount, about 5.0 trillion Naira were expected to be generated from the sale of crude oil.

“Non-oil revenues will rake in about N5.06 trillion.These revenues are expected to come from corporate and company taxes, liquefied natural gas (LNG), stamp duties, capital gains tax and value added tax. Others are Customs, excise, fees, surcharges on luxury items, special levies and Federal Government independent revenue,” he said.

“I know N7 trillion seems larger than N6 trillion but in actual US dollar terms, the 2017 budget is smaller. We have had challenges in revenue generation in funding the 2016 budget. The country is trying to get to the bottom of revenue generating agencies in order to raise more money.”

Source: NAM NEWS NETWORK