FAAC shares N1.659trn to FG, states, LGs for May 2025
The Federation Account Allocation Committee (FAAC) has shared a total of N1.659 trillion to the federal, state, and local governments as revenue allocation for May 2025. The meeting, chaired by Minister of Finance and Coordinating Minister of the Economy, Wale Edun, followed a gross revenue inflow of N2.942 trillion.
From the distributable sum, the Federal Government received N538.004 billion, States N577.841 billion, and Local Government Councils N419.968 billion, while N124.076 billion was allocated to oil-producing states as 13% derivation. N111.908 billion was set aside for the cost of collection, and N1.171 trillion for transfers, interventions, and refunds.
Gross VAT revenue for May stood at N742.820 billion, up from N642.265 billion in April. After deducting the cost of collection and transfers, N691.714 billion was distributed: the Federal Government received N103.757 billion, States N345.857 billion, and Local Governments N242.100 billion.
The gross statutory revenue for May was N2.094 trillion, a slight increase from the previous month. After deductions, N863.895 billion was shared: FG got N393.518 billion, States N199.598 billion, LGs N153.881 billion, and N116.898 billion went to oil-producing states.
From the Electronic Money Transfer Levy (EMTL), N28.820 billion was shared: FG received N4.150 billion, States N13.833 billion, LGs N9.683 billion, while N1.153 billion went for collection costs. An additional N76.614 billion from exchange difference was also distributed among all tiers.
The communiqué highlighted that while Companies Income Tax (CIT), VAT, and Import Duty saw significant increases, Petroleum Profit Tax (PPT), CET levies, Oil and Gas Royalties, and EMTL all recorded declines. Excise Duty recorded a marginal rise.
The total distributable revenue for May was made up of N863.895 billion from statutory revenue, N691.714 billion from VAT, N27.667 billion from EMTL, and N76.614 billion from exchange difference, summing up to N1.659 trillion.
Minister Wale Edun, in his remarks, emphasized transparency and accountability in revenue allocation, commending FAAC members for their commitment to prudent fiscal management. He noted that these efforts are crucial to advancing economic growth, national stability, and equitable development across the country.
