The Federation Account Allocation Committee (FAAC) has shared ₦2.225 trillion among the Federal Government, states and local government councils as federation revenue for August 2025, the highest monthly allocation in Nigeria’s history.
This marks the second consecutive month that FAAC allocations have surpassed the ₦2 trillion mark, reflecting a steady rise in government earnings.
The announcement was made in Abuja following FAAC’s monthly meeting, where officials attributed the increased revenue to improved oil and gas royalties, Value Added Tax (VAT) collections, and Common External Tariff (CET) levies.
Gross federation revenue: ₦3.635 trillion
Deductions:
₦124.839 billion (cost of collection)
Other deductions (interventions, refunds, and savings): Amount unspecified
Net distributable revenue: ₦2.225 trillion
Revenue Source Amount (₦)
Statutory Revenue 1.478 trillion
Value Added Tax (VAT) 672.903 billion
Electronic Money Transfer Levy (EMTL) 32.338 billion
Exchange Difference 41.284 billion
From Statutory Revenue (₦1.478 trillion):
Federal Government: ₦684.462 billion
State Governments: ₦347.168 billion
Local Government Councils: ₦267.652 billion
Derivation to Oil-Producing States (13%): ₦179.311 billion
From VAT (₦672.903 billion):
Federal Government: ₦100.935 billion
States: ₦336.452 billion
Local Governments: ₦235.516 billion
From EMTL (₦32.338 billion):
Federal Government: ₦4.851 billion
States: ₦16.169 billion
Local Governments: ₦11.318 billion
From Exchange Difference (₦41.284 billion):
Federal Government: ₦19.799 billion
States: ₦10.042 billion
Local Governments: ₦7.742 billion
Oil-Producing States (Derivation): ₦3.701 billion
According to the FAAC communique, a total of ₦285.845 billion was earmarked for transfers, interventions, refunds and savings, while 13% of mineral revenue was allocated as derivation to oil-producing states.
