- FAAC shared ₦1.969 trillion from December 2025 Federation Account revenue among the three tiers of government
- The Federal Government received ₦653.5 billion, states ₦706.469 billion, and local councils ₦513.272 billion
- VAT revenue rose sharply in December, while statutory revenue declined compared with November figures
A total sum of ₦1.969 trillion, representing the Federation Account revenue for December 2025, has been shared among the Federal Government, state governments and local government councils across the country.
The allocation was disclosed in a communiqué issued after the January meeting of the Federation Account Allocation Committee (FAAC). The communiqué was made available on Monday by the Director of Press and Public Relations at the Office of the Accountant-General of the Federation, Mr Bawa Mokwa.
According to the communiqué, the ₦1.969 trillion total distributable revenue comprised ₦1.084 trillion from statutory revenue, ₦846.507 billion from Value Added Tax (VAT), and ₦38.110 billion from the Electronic Money Transfer Levy (EMTL).
The committee noted that a total gross revenue of ₦2.585 trillion was available for distribution in December 2025. From this amount, ₦104.697 billion was deducted as the cost of collection, while ₦511.585 billion was allocated to transfers, refunds and savings.
Further breakdown showed that gross statutory revenue of ₦1.631 trillion was generated in December 2025. This figure represented a decline of ₦105.202 billion compared to the ₦1.736 trillion recorded in November 2025.
In contrast, VAT revenue recorded a significant increase during the period under review. Gross VAT revenue for December 2025 stood at ₦913.957 billion, representing an increase of ₦350.915 billion from the ₦563.042 billion generated in November 2025.
From the total distributable revenue of ₦1.969 trillion, the Federal Government received ₦653.500 billion, while state governments collectively received ₦706.469 billion. Local government councils received ₦513.272 billion, and ₦96.083 billion, representing 13 per cent derivation revenue from mineral resources, was shared among the benefiting states.
A closer look at the statutory revenue allocation showed that from the ₦1.084 trillion distributable amount, the Federal Government received ₦520.807 billion. State governments received ₦264.160 billion, while local governments received ₦203.656 billion. The sum of ₦96.083 billion was again allocated as derivation revenue to oil-producing states.
Similarly, from the ₦846.507 billion distributable VAT revenue, the Federal Government received ₦126.976 billion, state governments received ₦423.254 billion, and local governments received ₦296.277 billion.
The communiqué further revealed that from the ₦38.110 billion generated from EMTL, the Federal Government received ₦5.717 billion, state governments received ₦19.055 billion, while local governments received ₦13.338 billion.
FAAC also noted changes in revenue performance during the period. Companies Income Tax, Import Duty and VAT recorded significant increases, while Oil and Gas Royalty, CET levies and fees rose marginally. However, Excise Duty, Petroleum Profit Tax and EMTL witnessed considerable declines.
The monthly revenue distribution remains a critical source of funding for all tiers of government, particularly amid ongoing fiscal pressures and rising expenditure demands.
(NAN)