The Federation Account Allocation Committee (FAAC) held its July 2025 meeting, chaired by the Honourable Minister of Finance and Coordinating Minister of the Economy, Mr. Wale Edun. During this meeting, a total sum of N1.818 trillion was distributed to the three tiers of government as Federation Allocation for June 2025 from a gross total of N4.232 trillion.
The Federal Government received N645.383 billion, while states were allocated N607.417 billion. Local Government Councils obtained N444.853 billion, and oil-producing states received N120.759 billion as derivation revenue.
Additionally, N162.786 billion was set aside for collection costs, with another N2.251 trillion earmarked for transfers, interventions, and refunds.
According to the communique issued by FAAC at the end of the meeting, gross revenue from Value Added Tax (VAT) in June 2025 amounted to N678.165 billion—N64.655 billion less than in May 2025.
Of this VAT amount, N27.127 billion went towards collection costs and another N19.531 billion was allocated for transfers and refunds; leaving a balance of N631.507 billion distributed among federal (N94.726 billion), state (N315.754 billion), and local governments (N221.027 billion).
Gross statutory revenue reached N3.385 trillion in June 2025—an increase of N1.390 trillion compared to May’s figures—with allocations including collection costs (N134.444 billion) and transfers/refunds (N2.231 trillion). The remaining balance was divided among federal (N474.455 billion), state (N240.650 billion), local governments (N185.531 billion), and derivation revenue for mineral-producing states (N118.256 Billion).
Furthermore, electronic money transfer levy funds totaling approximately $30 million were shared between federal ($4 million), state ($14 million), local governments ($10 million) along with associated collection costs ($1 million).
An additional augmentation from non-mineral revenues added up another $100-million split amongst federal ($52-million); states ($26-million); locals councils($20-million).
Exchange differences contributed an extra nearly $39-million distributed similarly across levels: federals getting almost half($19-million); states receiving close-to-$10m; locals taking about-$7m while oil-producers gained over two-and-a-half-millions.
Companies Income Tax(CIT); Petroleum Profit Tax(PPT); Electronic Money Transfer Levy(EMTL) saw significant increases whereas other sources like VATs or duties decreased considerably according FAAC’s communique regarding distributable totals which included statutory(N1-trillion); VAT(N631-billion); EMTL(N29-billion)+augmentation+exchange difference bringing overall distributions up-to-N1818-billions
Minister Edun expressed condolences following former President Muhammadu Buhari’s passing stating it is mourned nationwide including diasporas adding great loss felt beyond family but countrywide too whilst commending FAAC members’ dedication realizing policy goals under President Bola Ahmed Tinubu-led administration aiming reposition economy effectively signed off Mohammed Manga FCIA Director Information Public Relations July nineteenth twenty-twenty-five finance.gov.ng