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A total of 32 states depended on FAAC receipts for a minimum of 55 percent of their overall revenue, whereas 14 states relied on FAAC receipts for at least 70 percent of their total income, according to report by BudgIT.

The report emphasizes that numerous states heavily rely on federal transfers, which renders them susceptible to external disturbances, especially those associated with oil revenues and federal funding allocations.

The report reads: “32 states relied on FAAC receipts for at least 55 per cent of their total revenue, while 14 states relied on FAAC receipts for at least 70 per cent of their total revenue.

“Furthermore, transfers to states from the federation account comprised at least 62 per cent of the recurrent revenue of 34 states, except Lagos and Ogun, while 21 states relied on federal transfers for at least 80 per cent of their recurrent revenue.

“The picture painted above buttresses the over-reliance of the state governments on federally distributable revenue and accentuates their vulnerability to crude oil-induced shocks and other external shocks.”

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2023 Rankings of States Based on Their Dependency on FAAC:

1. Bayelsa: 92.17%

2. Akwa Ibom: 86.29%

3. Delta: 83.88%

4. Taraba: 81.89%

5. Niger: 80.19%

6. Benue: 79.85%

7. Anambra: 76.94%

8. Bauchi: 75.33%

9. Cross River: 74.87%

10. Nasarawa: 74.55%

11. Gombe: 72.29%

12. Enugu: 70.68%

13. Edo: 70.24%

14. Kano: 70.24%

15. Borno: 67.32%

16. Abia: 66.78%

17. Adamawa: 65.70%

18. Imo: 64.89%

19. Yobe: 64.65%

20. Katsina: 64.21%

21. Ekiti: 63.36%

22. Jigawa: 63.23%

23. Kogi: 61.29%

24. Rivers: 60.44%

25. Osun. 60.11%

26. Kaduna: 58.59%

27. Kebbi: 58.30%

28. Kwara: 57.62%

29. Ebonyi: 57.05%

30. Plateau: 56.05%

31. Sokoto: 55.67%

32. Ondo: 55.38%

33. Oyo: 46.38%

34. Zamfara: 45.04%

35. Ogun: 31.95%

36. Lagos: 26.55%

Source: BudgIT