Minister of Finance Kemi Adeosun says Salaries in states may be affected unless issues that led to the deadlocked meeting between the Federation Account and Allocation Committee (FAAC) and governors last week were resolved.
Addressing State House reporters after a meeting of the National Economic Council, Adeosun said the costs presented by the Nigerian National Petroleum Corporation could not be justified.
Meanwhile, the NNPC said that its N147billion June remittance to FAAC was in line with the terms of agreement it had with governors on the matter.
The NNPC, in a press statement by its spokesman Mr. Ndu Ughamadu, said the agreement it had with the governors was that the corporation would make a monthly remittance of N112billion to FAAC subject to sufficient funds from sales of domestic crude oil allocation for the corresponding month after meeting cash call obligations on JVs, deductions of Premium Motor Spirit (PMS)-cost under recovery and pipeline maintenance
In another development, the council set up a committee comprising the governors of Kano, Osun, Delta, Anambra, CBN Governor and the Minister of Education, to look into what should be done to address the falling standard of education in the states.