FG, States, LGs Share N2.43trn as September Revenue Rises to N3.91trn

By Taibat Ummi Yakubu 

The Federal Government, 36 state governments and 774 local government councils have shared N2.428 trillion in revenue for September 2026, following an allocation meeting of the Federation Account Allocation Committee (FAAC).

The allocation was approved at FAAC’s October meeting in Abuja, according to a statement issued on Thursday by Bawa Mokwa, Director of Press and Public Relations at the Office of the Accountant-General of the Federation.

Mokwa said the total distributable amount comprised N1.672 trillion from statutory revenue and N756.587 billion from Value Added Tax (VAT).

The FAAC communiqué showed that the country generated gross revenue of N3.913 trillion in September. However, N131.758 billion was deducted as the cost of collection, while N1.352 trillion went towards transfers, refunds and savings before the remaining revenue was shared among the three tiers of government.

The committee recorded N3.096 trillion in gross statutory revenue for September, an increase of N246.384 billion from the N2.850 trillion recorded in August. VAT revenue, however, declined to N816.872 billion from N834.843 billion in the preceding month, representing a drop of N17.972 billion.

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Under the overall distribution, the Federal Government received N832.242 billion, while state governments got N799.872 billion. Local government councils received N560.660 billion, with oil-producing states sharing an additional N236.049 billion as the 13 per cent derivation allocation from mineral revenue.

A breakdown of the N1.672 trillion distributable statutory revenue showed that the Federal Government received N756.583 billion, state governments got N383.749 billion, and local government councils received N295.855 billion. The benefiting states also received N236.049 billion as derivation revenue.

From the N756.587 billion distributable VAT revenue, the Federal Government received N75.659 billion, state governments got N416.123 billion, and local government councils received N264.805 billion.

According to Mokwa, revenue from Petroleum Profit Tax, Hydrocarbon Tax, petroleum royalties, import duty, Common External Tariff levies and excise duty recorded significant increases during the month.

However, receipts from Companies Income Tax, Capital Gains Tax and Stamp Duties, VAT, mineral royalties, gas-flaring penalties and fees, and miscellaneous oil revenue declined.

The September allocation provides funds for the three tiers of government to meet their obligations, including salaries, infrastructure projects and public services, as state and local administrations continue to depend heavily on monthly distributions from the Federation Account.