The Federation Account Allocation Committee (FAAC) has disbursed a total of N1.659 trillion as revenue for May 2025 to the Federal Government, State Governments, and Local Government Councils (LGCs).
The revenue allocation was finalized at FAAC’s June meeting held in Abuja on Wednesday, according to a communiqué released by Mr. Bawa Mokwa, Director of Press and Public Relations at the Office of the Accountant-General of the Federation.
The distributed sum comprises:
- Statutory revenue: N863.895 billion
- Value Added Tax (VAT): N691.714 billion
- Electronic Money Transfer Levy (EMTL): N27.667 billion
- Exchange Difference: N76.614 billion
Gross revenue and deductions
FAAC reported a gross revenue of N2.942 trillion for May. However, deductions for collection costs (N111.908 billion) and transfers/ interventions/refunds (N1.171 trillion) reduced the distributable pool to N1.659 trillion.
Breakdown of allocations
From the distributable revenue:
- Federal government: N538.004 billion
- State governments: N577.841 billion
- Local government councils: N419.968 billion
- 13% derivation for oil-producing states: N124.076 billion
Statutory revenue (N863.895 billion):
- FG: N393.518 billion
- States: N199.598 billion
- LGs: N153.881 billion
- Derivation: N116.898 billion
VAT (N691.714 billion):
- FG: N103.757 billion
- States: N345.857 billion
- LGs: N242.100 billion
EMTL (N27.667 billion):
- FG: N4.150 billion
- States: N13.833 billion
- LGs: N9.683 billion
Exchange difference (N76.614 billion):
- FG: N36.579 billion
- States: N18.553 billion
- LGs: N14.304 billion
- Derivation: N7.178 billion
Revenue performance
Compared to April:
- Statutory revenue rose slightly by N10.023 billion (from N2.084 trillion to N2.094 trillion).
- VAT revenue saw a stronger increase of N100.555 billion (from N642.265 billion to N742.820 billion).
However, the communiqué noted a decline in revenue from CET levies, Petroleum Profit Tax (PPT), Oil and Gas Royalties, and EMTL, while Companies Income Tax (CIT), VAT, and Import Duty recorded significant gains.
FAAC’s monthly allocation remains a critical mechanism for supporting government operations at all levels, amid ongoing fiscal reforms and revenue diversification efforts.