August: Revenue allocation rises as FAAC shares N2.23trn to FG, States, LGs

The Federation Account Allocation Committee (FAAC) has shared a total of N2.23 trillion among the Federal Government, 36 states, and the 774 local government councils as distributable revenue for August 2025.

The allocation was confirmed in a communiqué issued after FAAC’s meeting in Abuja, chaired by the Accountant-General of the Federation’s office.

According to the statement by Bawa Mokwa, Director of Press and Public Relations at the Office of the Accountant General of the Federation (OAGF), the distributable revenue comprised: N1.48 trillion statutory revenue, N672.90 billion Value Added Tax (VAT), N32.34 billion Electronic Money Transfer Levy (EMTL) and
N41.28 billion Exchange Difference.

The gross revenue for the month stood at ₦3.64 trillion, while deductions for the cost of collection amounted to N124.84 billion.

Transfers, interventions, refunds, and savings accounted for another N1.29 trillion.

A breakdown of the allocations shows that from the distributable statutory revenue of N1.48 trillion, the Federal Government received N684.46 billion, states got N347.17 billion, and local governments received N267.65 billion.

An additional N179.31 billion (representing 13% of mineral revenue) was shared with oil-producing states as derivation.

For VAT revenue distribution, the Federal Government received N100.94 billion, while states and local governments received N336.45 billion and N235.52 billion respectively.

From EMTL collections of N32.34 billion, the Federal Government received N4.85 billion, states got N16.17 billion, and local governments took N11.32 billion.

The N41.28 billion Exchange Difference was shared with the Federal Government receiving N19.80 billion, States N10.04 billion, Local Governments N7.74 billion, while N3.70 billion was paid as 13% derivation revenue to oil-producing states.

Looking at the revenue performance, the communiqué noted that the gross statutory revenue of N2.84 trillion in August was lower than the N3.07 trillion recorded in July by N231.91 billion.

While oil and gas royalty, VAT, and CET levies recorded significant increases, collections from petroleum profit tax (PPT), companies income tax (CIT), import duty, excise duty, and EMTL declined during the month.

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