The Federation Account Allocation Committee (FAAC) has distributed N2.103 trillion as revenue for September 2025 to the federal, state, and local governments, one of the largest monthly allocations this year.
The figure was announced in a communiqué released after FAAC’s October meeting in Abuja and signed by Bawa Mokwa, Director of Press and Public Relations in the Office of the Accountant-General of the Federation.
According to the statement, the total revenue shared comprised N1.239 trillion from statutory allocations, N812.59 billion from Value Added Tax (VAT), and N51.68 billion from the Electronic Money Transfer Levy (EMTL).
A total sum of N2.103 trillion, being September 2025 Federation Account Revenue, has been shared among the Federal Government, States, and the Local Government Councils, the communiqué stated.
From the total amount, the Federal Government received N711.31 billion, states got N727.17 billion, while the 774 local government councils took N529.95 billion. In addition, oil-producing states received N134.96 billion as 13 per cent derivation from mineral revenue.
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The September disbursement represents a 16 per cent increase from the N1.813 trillion shared in August and a 22 per cent jump compared to N1.728 trillion in July, marking the fourth straight month of revenue growth this year. Officials attributed the rise to improved VAT performance, stronger digital transaction levies, and a modest rebound in global oil prices.
From the N1.239 trillion statutory revenue, the Federal Government received N581.67 billion, states N295.03 billion, and local governments N227.46 billion, while N134.96 billion went to oil-producing states as derivation.
Under VAT, the Federal Government took N121.89 billion, states N406.30 billion, and local councils N284.41 billion.
The communiqué added: “Gross statutory revenue of N2.128 trillion was received for September 2025. This was lower than the sum of N2.838 trillion received in August 2025 by N710.134 billion. Gross revenue of N872.63 billion was available from VAT in September 2025. This was higher than the N722.619 billion available in August 2025 by N150.011 billion.”
From the N51.68 billion EMTL, the Federal Government collected N7.75 billion, states N25.84 billion, and local councils N18.09 billion.
In total, gross revenue for the month stood at N3.054 trillion, up from N2.838 trillion in August. However, after N116.15 billion was deducted for the cost of revenue collection and N835 billion set aside for transfers, interventions, refunds, and savings, the distributable sum came to N2.103 trillion.
FAAC noted that VAT, import duty, and EMTL collections performed strongly during the month, reflecting better non-oil sector activity. However, receipts from Companies Income Tax, Common External Tariff, and Petroleum Profit Tax declined slightly due to challenges in crude oil production and fluctuating international prices.
The committee restated its role in ensuring that all revenues generated from taxes, duties, and oil earnings are distributed equitably among the three tiers of government in line with statutory provisions.
