The Federation Account Allocation Committee (FAAC), at its May 2025 meeting, chaired by the Honourable Minister of Finance and Coordinating Minister of the Economy, Mr. Wale Edun, has shared a total sum of N1.681 trillion to the three tiers of government as federation allocation for the month of April 2025. This distribution was made from a gross revenue of N2.848 trillion.
According to the communique issued at the end of the meeting, the allocation comprised revenues from Statutory Sources, Value Added Tax (VAT), Electronic Money Transfer Levy (EMTL), and Exchange Difference. From the total distributable sum, the Federal Government received N565.307 billion, the States got N556.741 billion, and the Local Government Councils were allocated N406.627 billion. The oil-producing states received an additional N152.553 billion as 13% derivation revenue.
The cost of revenue collection accounted for N101.051 billion, while N1.066 trillion was allocated for transfers, intervention, and refunds.
Gross statutory revenue for April stood at N2.084 trillion, representing an increase of N365.595 billion from the previous month’s N1.718 trillion. From this, N962.882 billion was available for distribution after deductions. The Federal Government received N431.307 billion, States got N218.765 billion, LGCs received N168.659 billion, and oil-producing states received N144.151 billion.
From VAT revenue of N642.265 billion, which rose by N4.647 billion from the previous month, N598.077 billion was shared among the tiers of government after deductions. The Federal Government received N89.712 billion, States received N299.039 billion, and Local Government Councils got N209.327 billion.
The EMTL yielded N40.481 billion, from which N38.862 billion was distributed: the Federal Government got N5.829 billion, States received N19.431 billion, and LGCs got N13.602 billion.
Additionally, N81.407 billion from exchange difference was distributed, with the Federal Government receiving N38.459 billion, States N19.507 billion, LGCs N15.039 billion, and oil-producing states N8.402 billion.
The FAAC communique noted that while PPT, Oil and Gas Royalty, VAT, EMTL, Excise Duty, Import Duty, and CET Levies saw significant increases, Company Income Tax (CIT) recorded a decline.
Minister Wale Edun, in his remarks, emphasized the importance of domestic revenue mobilization in achieving Nigeria’s long-term development goals and commended FAAC members for their commitment to the nation’s fiscal management.
