Revenue Surge: FG, States, and LGs Share Record ₦1.969trn December Windfall

A total of N1.969 trillion, representing the Federation Account revenue for December 2025, has been distributed among the Federal Government, state governments, and local government councils across Nigeria.

The allocation was disclosed in a communiqué issued by the Federation Account Allocation Committee (FAAC) and released on Monday by the Director of Press and Public Relations in the Office of the Accountant-General of the Federation, Bawa Mokwa. The revenue sharing took place during the January FAAC meeting.

According to the communiqué, the total distributable revenue was made up of N1.084 trillion in statutory revenue, N846.507 billion from Value Added Tax (VAT), and N38.110 billion from the Electronic Money Transfer Levy (EMTL). In total, gross revenue of N2.585 trillion was recorded for December 2025.

The document further revealed that N104.697 billion was deducted as cost of collection, while N511.585 billion was set aside for transfers, refunds, and savings.

Statutory revenue for the month stood at N1.631 trillion, representing a decline of N105.202 billion compared to N1.736 trillion recorded in November 2025. In contrast, VAT revenue rose significantly, with N913.957 billion generated in December, up from N563.042 billion in November, reflecting an increase of N350.915 billion.

From the total distributable sum of N1.969 trillion, the Federal Government received N653.500 billion, while state governments received N706.469 billion. Local government councils received N513.272 billion, and N96.083 billion was allocated to oil-producing states as 13 percent derivation revenue.

Breaking down the statutory revenue allocation, the Federal Government got N520.807 billion, states received N264.160 billion, and local governments got N203.656 billion, with N96.083 billion again distributed as derivation revenue.

From the VAT pool of N846.507 billion, the Federal Government received N126.976 billion, states received N423.254 billion, and local governments received N296.277 billion.

The EMTL revenue of N38.110 billion was also shared, with the Federal Government receiving N5.717 billion, state governments N19.055 billion, and local governments N13.338 billion.

The communiqué noted that Companies Income Tax, Import Duty, and VAT recorded significant increases in December 2025. It added that Oil and Gas Royalty, CET levies, and fees saw slight gains, while Excise Duty, Petroleum Profit Tax, and EMTL experienced notable declines.