The Federal Government’s fiscal operations in the early part of this year have resulted into a 22.8% rise in deficit spending in February 2023.
The development was driven by a huge drop in oil revenue during the period.
In its Monthly Economic Report, MER, for February 2023 released on Friday, the Central Bank of Nigeria, CBN, had indicated that the deficit during the month of February was N513.05bn, bringing the total deficit for the first two months of 2023 to N931bn.
The report indicated that the oil sector, which had recorded a growth of 31% to N774.15bn in January took a 60% plunge to N308.07bn in February.
As a result, revenue accruing to the Federation Account in February declined 32.3 % in February.
The CBN also reported that the expenditure side of the fiscal operations compounded the deficit position with a 5.9 percent increase in expenditure to N991.6bn during the period.
Also, at N1.038 trillion, federation receipts were below the level in January by 32.3%.
According to the CBN, it was below the budget of N1.580 hitrn by 34.3%.