FAAC Distributes N1.678 tr Amidst Revenue Decline
By Patience Ikpeme
The Federal Government, State Governments, and Local Government Councils have shared a total of N1.678 trillion from the Federation Account Revenue for February 2025.
This distribution occurred during the March 2025 Federation Account Allocation Committee (FAAC) meeting held in Abuja, and was overseen by the Minister of Finance and Coordinating Minister of the Economy, Wale Edun.
The distributed sum represents a decrease from the N1.703 trillion shared in January 2025.
The February revenue breakdown includes N827.633 billion in distributable statutory revenue, N609.430 billion in distributable Value Added Tax (VAT) revenue, N35.171 billion from the Electronic Money Transfer Levy (EMTL), N28.218 billion from Solid Minerals revenue, and an augmentation of N178 billion.
According to the official communiqué released by FAAC, the total gross revenue available for February 2025 was N2.344 trillion. Deductions for the cost of collection amounted to N89.092 billion, while total transfers, interventions, refunds, and savings accounted for N577.097 billion.
The gross statutory revenue for February 2025 stood at N1.653 trillion, a reduction of N194.664 billion compared to the N1.848 trillion received in January 2025. Similarly, the gross VAT revenue for February was N654.456 billion, down by N117.430 billion from the N771.886 billion recorded in January 2025.
From the total distributable revenue of N1.678 trillion, the Federal Government received N569.656 billion, State Governments received N562.195 billion, and Local Government Councils received N410.559 billion. Derivation revenue, representing 13% of mineral revenue, amounted to N136.042 billion, distributed to benefiting states.
Specifically, regarding the N827.633 billion distributable statutory revenue, the Federal Government received N366.262 billion, State Governments received N185.773 billion, Local Government Councils received N143.223 billion, and derivation revenue was N132.374 billion.
From the N609.430 billion distributable VAT revenue, the Federal Government received N91.415 billion, State Governments received N304.715 billion, and Local Government Councils received N213.301 billion.
The Federal Government received N5.276 billion from the N35.171 billion EMTL, while State Governments received N17.585 billion, and Local Government Councils received N12.310 billion.
From the N28.218 billion Solid Minerals revenue, the Federal Government received N12.933 billion, State Governments received N6.560 billion, Local Government Councils received N5.057 billion, and derivation revenue was N3.668 billion.
The N178 billion augmentation was distributed as follows: Federal Government received N93.770 billion, State Governments received N47.562 billion, and Local Government Councils received N36.668 billion.
In February 2025, Oil and Gas Royalty and EMTL saw increases, while VAT, Petroleum Profit Tax (PPT), Companies Income Tax (CIT), Excise Duty, Import Duty, and CET Levies experienced decreases.
The meeting was attended by the Accountant General of the Federation, Shamseldeen Ogunjimi.
