The Federation Account Allocation Committee (FAAC) has disbursed a total of ₦1.969 trillion as revenue generated in December 2025 to the Federal Government, the 36 states, and the 774 local government councils across Nigeria. The allocation was concluded at FAAC’s January 2026 meeting held in Abuja.
Details of the disbursement were contained in a statement issued by the Director of Press in the Office of the Accountant General of the Federation, Bawa Mokwa, who confirmed that the funds were shared in line with statutory revenue-sharing formulas.
According to the statement, the ₦1.969 trillion distributable revenue was made up of ₦1.084 trillion from statutory revenue, ₦846.507 billion from Value Added Tax (VAT), and ₦38.110 billion derived from the Electronic Money Transfer Levy (EMTL).
The amount shared for December represents an increase compared to the ₦1.928 trillion distributed for November 2025, indicating a marginal improvement in overall revenue inflows during the period under review.
FAAC disclosed that total gross revenue of ₦2.585 trillion was available for December 2025. From this figure, deductions for the cost of collection amounted to ₦104.697 billion, while transfers, refunds, and savings accounted for ₦511.585 billion, leaving the balance for distribution among the three tiers of government.
Further breakdown showed that gross statutory revenue stood at ₦1.631 trillion in December 2025. This figure, however, reflected a decline of ₦105.202 billion when compared with the ₦1.736 trillion recorded in November 2025.
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In contrast, VAT performance improved significantly within the same period. Gross VAT revenue for December 2025 rose to ₦913.957 billion, marking an increase of ₦350.915 billion from the ₦563.042 billion generated in November 2025.
From the total distributable sum of ₦1.969 trillion, the Federal Government received ₦653.500 billion, while the state governments collectively got ₦706.469 billion. The local government councils were allocated ₦513.272 billion, and ₦96.083 billion was set aside for oil-producing states as 13 per cent derivation revenue.
A closer look at the statutory revenue component showed that out of the ₦1.084 trillion shared, the Federal Government received ₦520.807 billion, the states received ₦264.160 billion, and the local government councils got ₦203.656 billion, in addition to the ₦96.083 billion derivation allocation.
For VAT revenue, the Federal Government received ₦126.976 billion from the ₦846.507 billion distributable amount, states shared ₦423.254 billion, while local governments received ₦296.277 billion. From the EMTL pool of ₦38.110 billion, the Federal Government got ₦5.717 billion, states received ₦19.055 billion, and local councils were allocated ₦13.338 billion.
FAAC also noted changes in revenue performance across key sources in December 2025, with Companies Income Tax, Capital Gains Tax, import duty, and VAT recording significant increases. Meanwhile, Oil and Gas Royalty, CET levies, and fees saw marginal growth, while Excise Duty, Petroleum Profit Tax, Hydrocarbon Tax, and EMTL experienced notable declines during the month.
