FAAC Disburses N1.681tr to Federal, State, and Local Governments for April 2025
By Patience Ikpeme
The Federation Account Allocation Committee (FAAC) has distributed a total of N1.681 trillion to the three tiers of government as revenue generated in April 2025, signaling an upward trend in monthly allocations across the federation.
This amount, which was shared during the FAAC meeting held in Abuja on Friday, marks an increase of N103 billion compared to the N1.578 trillion shared in March 2025.
A communiqué issued at the end of the meeting disclosed that the distributable revenue for the month comprised four main components: statutory revenue of N962.882 billion, Value Added Tax (VAT) revenue of N598.077 billion, Electronic Money Transfer Levy (EMTL) revenue of N38.862 billion, and an Exchange Difference of N81.407 billion.
From the total revenue, the Federal Government received N565.307 billion. State Governments collectively received N556.741 billion, while the 774 Local Government Councils across the country got N406.627 billion. Additionally, N152.553 billion was shared among oil-producing states as 13 percent derivation from mineral revenue.
Gross revenue for April stood at N2.848 trillion. However, deductions amounting to N101.051 billion were made to cover the cost of revenue collection. A further N1.066 trillion was set aside for statutory transfers, refunds, interventions, and savings.
A sectoral analysis of the statutory revenue, which totaled N962.882 billion, shows the Federal Government receiving N431.307 billion. States took N218.765 billion, and Local Governments received N168.659 billion. From this pool, N144.151 billion was paid to oil-producing states as derivation revenue.
The VAT revenue of N598.077 billion was distributed with the Federal Government getting N89.712 billion. State Governments received N299.039 billion, while Local Government Councils got N209.327 billion.
From the EMTL revenue of N38.862 billion, N5.829 billion went to the Federal Government. States received N19.431 billion, and Local Governments took N13.602 billion.
Revenue from exchange rate gains totaled N81.407 billion and was shared accordingly: Federal Government – N38.459 billion; States – N19.507 billion; Local Governments – N15.039 billion. Also, N8.402 billion from the exchange difference was allocated to oil-producing states as 13 percent derivation.
According to FAAC, April 2025 recorded notable increases in revenues from Petroleum Profit Tax (PPT), Oil and Gas Royalties, VAT, EMTL, Excise Duty, Import Duty, and Common External Tariff (CET) Levies. However, revenue from Companies Income Tax (CIT) declined during the month.
Gross statutory revenue for April reached N2.084 trillion, up by N365.595 billion from N1.718 trillion in March. VAT collections also improved slightly to N642.265 billion in April, compared to N637.618 billion in the previous month—a marginal increase of N4.647 billion.
The distribution of April revenue reflects a continued pattern of volatility in the federation’s income streams. Nonetheless, ongoing fiscal reforms and efforts to boost non-oil revenue generation appear to be supporting greater revenue inflow, even as fluctuations in certain sources, such as company income taxes, remain a concern.
FAAC reaffirmed its commitment to sustaining transparent and efficient allocation processes that align with the country’s fiscal objectives and support developmental outcomes at the federal, state, and local levels.
