Olushola Omogbehin
The Federation Account Allocation Committee has shared a total of ₦2.103tn in revenue among the Federal, state and local governments for September 2025, which is one of the highest disbursement disbursements so far in 2025.
This was disclosed in a release signed by the spokesperson of the Office of the Accountant General of the Federation, Bawa Mokwa, on Friday after the October 2025 Federation Account Allocation Committee, FAAC, meeting held in Abuja.
The statement revealed that the total distributable revenue comprised ₦1.239tn from statutory allocations, ₦812.59bn from Value Added Tax, and ₦51.68bn from the Electronic Money Transfer Levy.
“A total sum of ₦2.103 trillion, being September 2025 Federation Account Revenue, has been shared to the Federal Government, States and the Local Government Councils.”
Gross revenue of ₦872.630 billion was available from the Value Added Tax, VAT, in September 2025. This was higher than the ₦722.619 billion available in the month of August 2025 by ₦150.011 billion.
From the shared ₦2.103tn shared, the Federal Government received ₦711.31bn, while states got ₦727.17bn. The 774 Local Government Councils shared ₦529.95bn. Oil-producing states received ₦134.96bn as 13 per cent derivation from mineral revenue.
The disbursement represents a 16 per cent increase from the ₦1.813 trillion shared in August 2025 and a 22 per cent rise compared to the ₦1.728 trillion allocated in July.
From the ₦812.593 billion distributable Value Added Tax, VAT, revenue, the Federal Government received ₦121.889 billion, the State Governments received ₦406.297 billion and the Local Government Councils received ₦284.408 billion.
A total sum of ₦7.753 billion was received by the Federal Government from the ₦51.684 billion Electronic Money Transfer Levy, the State Governments received ₦25.842 billion, and the Local Government Councils received ₦18.089 billion.
The total gross revenue available in September stood at ₦3.054tn, compared to ₦2.838tn recorded in August, indicating stronger non-oil performance despite a decline in crude-related receipts.
Companies Income Tax and Common External Tariff levies fell sharply, while Petroleum Profit Tax recorded only marginal growth. Oil and Gas Royalty and Excise Duty also dipped slightly, reflecting the persistent challenges in crude production and global oil price volatility.
This is the central pool of money where all major federally collected revenues, including crude oil sales, taxes, and duties, are first deposited.
The role of FAAC is to make sure these funds are well distributed according to a statutorily defined formula to the three tiers of government.
