Nigeria’s three tiers of government, federal, state, and local councils, have shared a total of ₦2.001 trillion from the Federation Account for July 2025.
The allocation was confirmed after the Federation Account Allocation Committee (FAAC) meeting held in Abuja for August 2025.
According to a communiqué released by the Office of the Accountant-General of the Federation, the distributable revenue comprised:
- ₦1.283 trillion statutory revenue
- ₦640.61 billion from Value Added Tax (VAT)
- ₦37.60 billion from the Electronic Money Transfer Levy (EMTL)
- ₦39.74 billion exchange difference
Breakdown of Allocation
From the total, the federal government received ₦735.08 billion, state governments ₦660.35 billion, and local government councils ₦485.04 billion. An additional ₦120.36 billion representing 13% of mineral revenue was shared with oil-producing states as derivation.
For statutory revenue alone, the federal government took ₦613.81 billion, states received ₦311.33 billion, and local councils got ₦240.02 billion. Oil-producing states received ₦117.71 billion as derivation.
From VAT revenue, the federal government collected ₦96.09 billion, states ₦320.31 billion, and local governments ₦224.21 billion.
On EMTL receipts, the federal government secured ₦5.64 billion, states ₦18.80 billion, and local councils ₦13.16 billion. For the exchange difference, the federal government received ₦19.54 billion, states ₦9.91 billion, and local governments ₦7.64 billion, while ₦2.64 billion went to derivation.
Revenue Trends
The communiqué noted that the gross statutory revenue stood at ₦3.07 trillion in July, down by ₦415.11 billion from the ₦3.49 trillion recorded in June.
On the other hand, VAT collections rose slightly to ₦687.94 billion, compared to ₦678.17 billion in June.
Revenue performance showed significant increases in Petroleum Profit Tax (PPT), Oil and Gas Royalties, Excise Duty, and EMTL. However, Companies Income Tax (CIT) and CET levies declined during the period.
