FG, states, LGAs shared N2.2trn in August | Statutory revenue dropped by N231bn – FAAC

The Federation Account Allocation Committee on Wednesday said the Federal Government, states, and Local Government Councils shared a total of N2.225tn as August 2025 revenue, representing an increase of N224.118bn or 11.2 per cent compared with the N2.001tn distributed for July.

The Office of the Accountant General of the Federation, in a statement on Wednesday by its Director of Press and Public Relations, Bawa Mokwa, explained that the allocation was made at the FAAC meeting held in Abuja.

“A total sum of N2.225tn, being August 2025 Federation Account Revenue, has been shared to the Federal Government, states, and the Local Government Councils,” the statement read. The PUNCH observed that the increase marked the third consecutive month of growth in revenue shared.

According to the statement, the N2.225tn distributable revenue comprised statutory revenue of N1.478tn, Value Added Tax revenue of N672.903bn, Electronic Money Transfer Levy revenue of N32.338bn, and Exchange Difference of N41.284bn.

“Total gross revenue of N3.635tn was available in the month of August 2025. Total deduction for cost of collection was N124.839bn while total transfers, interventions, refunds, and savings were N1.285tn,” the statement added.

Breakdown of the statutory allocation showed that from the N1.478tn statutory revenue, the Federal Government received N684.462bn, states received N347.168bn, while local government councils got N267.652bn. Oil-producing states received N179.311bn as 13 per cent derivation revenue.

From the N672.903bn VAT revenue, the Federal Government received N100.935bn, states received N336.452bn, and Local Governments received N235.516bn.

On EMTL, FAAC said the Federal Government received N4.851bn, states N16.169bn, and local governments N11.318bn from the total of N32.338bn.

From the N41.284bn Exchange Difference, the Federal Government got N19.799bn, the states N10.042bn, Local Governments N7.742bn, while N3.701bn went to oil-producing states as derivation revenue.

The statement noted that gross statutory revenue of N2.838tn was recorded in August, lower than the N3.070tn received in July, representing a drop of N231.913bn. It further disclosed that VAT gross revenue stood at N722.619bn in August, higher than the N687.940bn recorded in July, reflecting an increase of N34.679bn.

It added that while oil and gas royalties, VAT, and CET levies recorded significant increases, receipts from Petroleum Profit Tax, Import Duty, Companies Income Tax, Excise Duty, and EMTL declined.

President Bola Tinubu, earlier in September 2025, announced that Nigeria hit its 2025 revenue target in August, driven largely by proceeds from the non-oil sector. (Punch)