Nigeria’s three tiers of government shared a total of N2.225 trillion in revenue for August 2025, marking an 11.2 percent increase from the N2.001 trillion distributed in July, according to the Federation Account Allocation Committee (FAAC).
The announcement was made in a statement by FAAC’s Director of Press and Public Relations, Bawa Mokwa, on Wednesday.
Breakdown of August Allocation
From the total revenue, which included gross statutory revenue, Value Added Tax (VAT), Electronic Money Transfer Levy (EMTL), and exchange difference, the distribution was as follows:
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Federal Government: N810.05 billion
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State Governments: N709.83 billion
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Local Governments: N522.23 billion
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Oil-Producing States (13% derivation): N183.01 billion
In addition, FAAC noted that N124.84 billion was deducted as the cost of collection, while N1.28 trillion went into transfers, interventions, and refunds.
VAT and Statutory Revenue
Gross VAT revenue for August stood at N722.61 billion, up by N34.67 billion compared to July’s N687.94 billion. After statutory deductions:
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FG received N100.93 billion,
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States got N336.45 billion,
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LGs shared N235.51 billion.
Meanwhile, gross statutory revenue dropped to N2.83 trillion in August, down by N231.91 billion from July’s N3.07 trillion. Out of this, after deductions:
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FG got N684.46 billion,
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States received N347.16 billion,
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LGs shared N267.65 billion,
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Oil-producing states collected N179.31 billion as derivation.
EMTL and Exchange Difference
From the N32.34 billion EMTL collected in August:
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FG got N4.85 billion,
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States N16.17 billion,
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LGs N11.32 billion.
From the N41.28 billion exchange difference:
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FG received N19.80 billion,
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States N10.04 billion,
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LGs N7.74 billion,
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Oil-producing states N3.70 billion.
Revenue Performance
While FAAC reported increases in oil and gas royalties, VAT, and Common External Tariff (CET) levies, there were declines in Petroleum Profit Tax, Import Duty, Companies Income Tax, Excise Duty, and EMTL receipts.
This distribution underscores both the country’s reliance on oil revenues and the mixed performance of non-oil revenue sources.
