Federation Account Allocation Committee Distributes Over N1.659 Trillion for May 2025
The Federation Account Allocation Committee (FAAC) has announced the distribution of a total of N1.659 trillion for May 2025, allocated among the Federal Government, States, and Local Government Councils. This distribution was finalized during the FAAC meeting held in Abuja in June 2025.
The N1.659 trillion in total distributable revenue includes NN863.895 billion from distributable statutory revenue, NN691.714 billion from Value Added Tax (VAT) revenue, N27.667 billion derived from the Electronic Money Transfer Levy (EMTL), and N76.614 billion from Exchange Difference revenue.
According to the communiqué released by FAAC, the gross revenue available for the month of May 2025 reached N2.942 trillion. After accounting for deductions related to cost of collection, which amounted to NN111.908 billion, and total transfers, interventions, and refunds of N1.171 trillion, the remaining gross statutory revenue was reported at N2.094 trillion, reflecting an increase of N10.023 billion compared to April 2025.
May’s VAT revenue saw a gross figure of NN742.820 billion, marking an improvement over the NN642.265 billion reported in April 2025 by NN100.555 billion.
In detail, the breakdown of the total distributable revenue reveals that the Federal Government received NN538.004 billion, while State Governments were allocated NN577.841 billion. Local Government Councils received NN419.968 billion, along with NN124.076 billion designated as derivation revenue (13% of mineral revenue).
From the distributable statutory revenue of NN863.895 billion, allocations were made as follows: the Federal Government received NN393.518 billion, State Governments received NN199.598 billion, and Local Government Councils received NN153.881 billion. Additionally, NN116.898 billion was shared as derivation revenue.
For the NN691.714 billion in VAT revenue, the distribution included NN103.757 billion for the Federal Government, NN345.857 billion for State Governments, and NN242.100 billion for Local Government Councils.
In relation to the Electronic Money Transfer Levy (EMTL) of N27.667 billion, the Federal Government received N4.150 billion, while State Governments obtained N13.833 billion and Local Government Councils received N9.683 billion. The Exchange Difference revenue of N76.614 billion was allocated with the Federal Government receiving N36.579 billion, State Governments N18.553 billion, and Local Government Councils N14.304 billion. An additional N7.178 billion was shared as derivation revenue among benefiting States.
The report also highlighted a notable increase in Companies Income Tax (CIT), VAT, and Import Duty during May 2025, whereas collections from CET Levies, Petroleum Profit Tax (PPT), Oil and Gas Royalty, and Electronic Money Transfer Levy (EMTL) witnessed a decline, with only a marginal increase noted in Excise Duty.
