The Accountant-General of the Federation, Shamseldeen Ogunjimi, has revealed that Nigeria’s Excess Crude Account (ECA) balance has increased to $535,823.39 as of August.
This figure represents a notable rise from the $473,754.57 recorded in April.
Ogunjimi made this disclosure during the 151st National Economic Council (NEC) meeting, chaired by Vice-President Kashim Shettima, in Abuja on Thursday.
The ECA serves as a vital economic buffer, designed to cushion the country against fluctuations in global crude oil prices.
Established in 2004 by former President Olusegun Obasanjo, the account saves excess oil revenues above the benchmark set in the annual budget.
Despite its importance, the account’s balance has remained relatively low, sparking concerns about the country’s ability to withstand economic shocks.
In addition to the ECA, Ogunjimi also provided updates on other key account balances.
He said: “The Stabilisation Account currently stands at N78,453,757,583.19, while the Natural Resources Account holds N106,727,969,527.59.”
These figures were disclosed by Ogunjimi, represented by Minister of Finance Wale Edun, during a press briefing.
The ECA balance has fluctuated significantly over the years. In February 2021, the account had $72.4 million, according to former Minister of Finance Zainab Ahmed.
By March 2023, the balance had decreased to $473,754.57, as reported by the Federation Account Allocation Committee (FAAC).
The recent increase brings the account’s balance to its highest level in recent months.
The current crude oil price on the international market stands at $67 per barrel, lower than Nigeria’s budget benchmark of $75 per barrel.
This discrepancy highlights the importance of the ECA in insulating the country from economic shocks.
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