FAAC Shares N2.428tr to FG, States and Local Councils from September, 2026 Revenues
By Patience Ikpeme
The Federal Government, the 36 states and the local government councils have shared N2.428 trillion, the Federation Account revenue for September 2026, at the October meeting of the Federation Account Allocation Committee (FAAC) in Abuja.
Bawa Mokwa, Director of Press and Public Relations in the Office of the Accountant General of the Federation (OAGF), confirmed the sharing. “The revenue was shared at the October 2026 Federation Account Allocation Committee (FAAC) meeting held in Abuja,” he said.
The N2.428 trillion is made up of N1.672 trillion in distributable statutory revenue and N756.587 billion in distributable Value Added Tax (VAT) revenue. Statutory revenue covers money from oil and other sources paid into the Federation Account, such as company taxes and import duties.
A communiqué issued by FAAC and signed by Mokwa said total gross revenue available in September was N3.913 trillion. Before sharing, N131.758 billion was taken as the cost of collecting the revenue. Another N1.352 trillion went on transfers, refunds and savings. What remained was the N2.428 trillion shared among the three tiers of government.
Gross statutory revenue for the month was N3.096 trillion, which is N246.384 billion more than the N2.850 trillion received in August. The communiqué said gross VAT revenue was N816.872 billion, which is lower than the N834.843 billion recorded in August by nearly N18 billion.
Out of the N2.428 trillion, the Federal Government received N832.242 billion, while the state governments received N799.872 billion. The local government councils got N560.660 billion. A further N236.049 billion, representing 13 per cent of mineral revenue, went to the benefiting states as derivation. Derivation is the share of mineral revenue that goes back to the states where the resources are produced.
On the statutory revenue of N1.672 trillion, the Federal Government took N756.583 billion and the states received N383.749 billion. The local government councils received N295.855 billion, and the same N236.049 billion derivation went to the benefiting states.
On the VAT revenue of N756.587 billion, the states received the largest share at N416.123 billion. The local government councils received N264.805 billion and the Federal Government received N75.659 billion.
The communiqué also explained which revenue sources went up or down in September. It said Petroleum Profit Tax, Hydrocarbon Tax, Petroleum Royalties, Import Duty, Common External Tariff (CET) levies and Excise Duty all increased significantly. In the other direction, Companies Income Tax, Capital Gains Tax and Stamp Duty, VAT, Mineral Royalties, Gas Flared Penalty, Rental Gas Flared Fee and miscellaneous oil revenue all fell considerably.
The rise in oil-related taxes and import-related duties helped lift statutory revenue above August’s level. The fall in VAT and company taxes is a reminder that earnings from everyday economic activity did not keep pace over the month.
The monthly FAAC sharing matters because it decides how much money state governments and local councils have for salaries, pensions, projects and other spending. Nigerians will be watching whether the revenue gains from oil and imports continue in the months ahead, and whether VAT and company tax collections recover.
