Revenue Boost As FAAC Shares N1.818Trn To FG, States, LGCs
BY COBHAM NSA – For the second consecutive month, the three tiers of government are smiling to the bank with enhanced income profile from the Federation account revenue generated in the month of June.
With a total sum of N1.818 trillion on the table, the figure is N159 billion above the total of N1.659 trillion generated in May and shared in June among the Federal Government, States and the Local Government Councils.
According to the Federation Account Allocation Committee (FAAC) meeting held in Abuja, the N1.818 trillion total distributable revenue comprised statutory revenue of N1.018 trillion, and Value Added Tax (VAT) revenue of N631.507 billion.
Others are Electronic Money Transfer Levy (EMTL) revenue of N29.165 billion, Exchange Difference revenue of N38.849 billion and N100 billion Augmentation from Non-Mineral revenue.
A communiqué issued by FAAC indicated that total gross revenue of N4.232 trillion was available in the month of June 2025 while total deduction for cost of collection was N162.786 billion with total transfers, interventions, refunds and savings amounting to N2.251 trillion.
It was stated that gross statutory revenue of N3.485 trillion received for June 2025 was N1.390 trillion
higher than the sum of N2.094 trillion recorded in May.
However, the gross VAT revenue of N678.165 billion available in June was lower by N64.655 billion than the N742.820 billion available in the month of May 2025.
The breakdown from the N1.818 trillion total distributable revenue showed that the Federal Government got N645.383 billion, the State Governments received total sum of N607.417 billion, the Local government Council got N444.853 billion, while the sum of N120.759 billion, which is 13% of mineral revenue, was shared as derivation revenue to the benefiting States.
Of the N1.018 trillion distributable statutory revenue, the Federal Government received N474.455 billion, the State Governments got N240.650 billion, the Local Government Councils pocketed N185.531 billion and the sum of N118.256 billion (13% of mineral revenue) went to the benefiting States as derivation revenue.
Similarly, from the VAT revenue of N631.507 billion, the Federal Government got N94.726 billion, the State Governments pocketed N315.754 billion and the Local Government Councils went home with N221.027 billion.
From the N29.165 billion Electronic Money Transfer Levy (EMTL), the Federal Government got N4.375 billion, the State Governments received N14.582 billion and the Local Government Councils received N10.208 billion.
Additionally, the communiqué indicated that from the N38.849 billion Exchange Difference revenue, the Federal Government got N19.147 billion, the State Governments received N9.712 billion, the Local Government Councils got N7.487 billion, while the sum of N2.503 billion (13% of mineral revenue) went to the benefiting States as derivation revenue.
Also, the communique explained that from the N100 billion Augmentation, a total sum of N52.680 billion went to the Federal Government, with the States and Local Government Councils Governments receiving N26,720 billion and N20.600 billion respectively.
Meanwhile, a statement by Bawa Mokwa, Director, Press and Public Relations in the Office of the Accountant General of the Federation (OAGF) stated that in June 2025, revenue from Companies Income Tax (CIT), Petroleum Profit Tax (PPT), and Electronic Money Transfer Levy (EMTL) all increased significantly.
On the reserve side, he said Oil and Gas Royalty, VAT, Import Duty, Excise Duty and CET Levies recorded considerable drop in their accruals.
