Abuja, Nigeria | August 23, 2025
The Federation Account Allocation Committee (FAAC) has shared a total of N2.001 trillion among the Federal Government, States, and Local Government Councils as revenue for July 2025, marking the second consecutive month of growth in federally distributable income.
According to a communiqué issued at the FAAC meeting held in Abuja and signed by Bawa Mokwa, Director of Press and Public Relations at the Office of the Accountant-General of the Federation, the July allocation represents a 10 percent increase from the N1.818 trillion disbursed in June — a difference of N183 billion. The rise follows a 9.6 percent increase in June, reflecting a consistent upward trend.
Breakdown of the July allocation shows:
Federal Government: N735.081 billion
State Governments: N660.349 billion
Local Government Councils: N485.039 billion
Oil-producing states (13% derivation): N120.359 billion
The distributable revenue was drawn from multiple sources, including statutory revenue (N1.282 trillion), Value Added Tax (N640.610 billion), Electronic Money Transfer Levy (N37.601 billion), and exchange difference (N39.745 billion).
Gross revenue for July 2025 stood at N3.836 trillion. After deductions for collection costs (N152.681 billion) and transfers, interventions, refunds, and savings (N1.683 trillion), the balance formed the distributable pool.
While statutory revenue fell by N415.108 billion compared to June, VAT collections rose by N9.775 billion. Petroleum Profit Tax (PPT), Electronic Money Transfer Levy, excise duties, and oil royalties also recorded gains, while Company Income Tax (CIT) and Common External Tariff (CET) levies declined.
This allocation marks the first time in 2025 that FAAC disbursements have exceeded N2 trillion in a single month, underscoring improved fiscal inflows despite fluctuations in statutory revenue.
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