FG, states, LGs get higher revenue as June allocation hits N2.55tn

Nigeria's Federation Account Allocation Committee (FAAC) distributed N2.55 trillion from June 2026 revenue, marking a significant N250 billion increase compared to the N2.3 trillion shared in May. This latest allocation continues a trend of rising federation revenue observed throughout the year.

The N2.55 trillion distributable revenue comprises N1.81 trillion in statutory revenue and N740.72 billion from Value Added Tax (VAT). FAAC reported that total gross revenue in June reached N4.5 trillion, with deductions for cost of collection amounting to N160.74 billion and transfers and refunds totaling N1.79 trillion.

FAAC attributed the enhanced revenue performance to robust collections from key sources, including Companies Income Tax, CGT, SDT, Petroleum Royalties, Gas Flared, Rental & MOR, VAT, Import Duty, and CET Levies. While some revenue streams like Petroleum Profit Tax and Hydrocarbon Tax saw decreases, the overall increase was substantial.

From the distributed N2.55 trillion, the Federal Government received N923.44 billion, state governments secured N838.21 billion, and the 774 local government councils obtained N591.39 billion. Additionally, oil-producing states shared N197.61 billion as 13 percent derivation revenue.