The Federation Account Allocation Committee (FAAC) has announced that FG, states, LGs share N2.09tr as the total revenue distributed for October 2025. The allocation, which was shared during the November 2025 FAAC gathering in Abuja, represents the combined earnings accrued to the country for the month. The distribution reflects statutory revenue, VAT proceeds, and electronic money transfer levies shared among the three tiers of government.
Breakdown of the Total N2.09tr Distributed
FAAC confirmed that the FG, states, LGs share N2.09tr from several income sources pooled within the Federation Account. According to the committee, the total distributable revenue included:
N1.376 trillion in statutory revenue
N670.303 billion from Value Added Tax (VAT)
N47.870 billion from the Electronic Money Transfer Levy (EMTL)
In a post made by thecompasshub on X, the committee explained that the full gross revenue available for the month reached N2.934 trillion. However, before distribution, deductions were made to cover collection costs which amounted to N115.278 billion. Additionally, statutory transfers, intervention funds, refunds, and savings claimed N724.603 billion, leaving the final balance for distribution.
Higher Statutory Revenue, Lower VAT Compared to September
In its communiqué, FAAC revealed that gross statutory revenue for October stood at N2.164 trillion, reflecting an increase of N36.832 billion above September’s recorded N2.128 trillion. This growth was attributed to improved collections from several tax streams and levies.
However, VAT revenue did not follow the same trend. The committee noted that VAT earnings dropped to N719.827 billion in October, falling short of the N872.630 billion collected in September by N152.803 billion. Officials attributed this decline to reduced spending patterns and lower consumption levels during the period.
How the N2.09tr Was Allocated Among Government Levels
A major highlight of the distribution was how the FG, states, LGs share N2.09tr was apportioned across the three tiers of government. According to FAAC:
The Federal Government received N758.405 billion
The 36 states collectively got N689.120 billion
Local government councils received N505.803 billion
N141.359 billion, representing 13% derivation from mineral revenue, was allocated to oil-producing states
This allocation pattern ensures that each tier receives its constitutional share while oil-producing states continue to benefit from natural resource derivation.
Detailed Distribution by Revenue Categories
Statutory Revenue: N1.376 Trillion
Federal Government: N650.680 billion
States: N330.033 billion
Local governments: N254.442 billion
Derivation allocation (13%): N141.359 billion
VAT Revenue: N670.303 Billion
Federal Government: N100.545 billion
States: N335.152 billion
Local governments: N234.606 billion
EMTL Revenue: N47.870 Billion
Federal Government: N7.180 billion
States: N23.935 billion
Local governments: N16.755 billion
Revenue Sources That Improved in October
FAAC also noted a significant rise in several key revenue streams. Collections from Petroleum Profit Tax (PPT), Hydrocarbon Tax (HT), Companies Income Tax (CIT) on upstream operations, Capital Gains Tax (CGT), and Stamp Duty Tax (SDT) all increased during the month. Oil and Gas royalties, import duties, excise duties, and CET levies also recorded notable growth.
Conversely, VAT and EMTL earnings declined, along with other fees typically captured within monthly national revenue inflows.