June 18, (THEWILL) – The Federation Allocation Account Committee (FAAC) has distributed a total of N1.659 trillion as May 2025 revenue to the Federal Government, states, and local government councils from a gross revenue of N2.942 trillion.
This was disclosed in a statement by Mohammed Manga, Director of Information and Public Relations at the Federal Ministry of Finance, following the FAAC meeting held on Wednesday in Abuja.
The session was chaired by the Minister of Finance and Coordinating Minister of the Economy, Wale Edun.
From the total distributable revenue—which comprises Gross Statutory Revenue, Value Added Tax (VAT), Electronic Money Transfer Levy (EMTL), and Exchange Difference—the Federal Government received N538.004 billion, states got N577.841 billion, while local governments were allocated N419.968 billion. Oil-producing states received N124.076 billion as 13 percent derivation.
Also, N111.908 billion was earmarked as the cost of collection, while N1.171 trillion was allocated for transfers, interventions, and refunds.
According to the communiqué issued at the end of the meeting, gross VAT revenue for May stood at N742.820 billion, marking an increase of N100.555 billion from the N642.265 billion recorded in April.
Of this, N29.713 billion went to the cost of collection and N21.393 billion to transfers and refunds.
The remaining N691.714 billion was shared as follows: the Federal Government received N103.757 billion, states got N345.857 billion, and local governments received N242.100 billion.
Statutory revenue for May was N2.094 trillion, slightly higher than the N2.084 trillion reported in the previous month.
After allocating N81.042 billion for collection costs and N1.149 trillion for transfers and refunds, the balance of N863.895 billion was shared among the three tiers of government: N393.518 billion to the Federal Government, N199.598 billion to states, N153.881 billion to local governments, and N116.898 billion to oil-producing states as derivation.
Additionally, N28.820 billion from the Electronic Money Transfer Levy (EMTL) was distributed: N4.150 billion to the Federal Government, N13.833 billion to states, N9.683 billion to local governments, and N1.153 billion for collection costs.
Another N76.614 billion from Exchange Difference was also distributed: the Federal Government got N36.579 billion, states received N18.553 billion, local governments received N14.304 billion, while oil-producing states got N7.178 billion.
The communiqué further noted that while Companies Income Tax (CIT), VAT, and Import Duty recorded significant increases, Petroleum Profit Tax (PPT), CET levies, Oil and Gas Royalties, and EMTL declined. Excise Duty showed only a marginal increase.
The final distributable revenue for May 2025 comprised N863.895 billion from statutory revenue, N691.714 billion from VAT, N27.667 billion from EMTL, and N76.614 billion from exchange difference, bringing the total to N1.659 trillion.
In his opening remarks, Minister Edun emphasized the importance of transparency, accountability, and fiscal discipline in the allocation process.
He praised FAAC members for their commitment to advancing government objectives, noting that prudent management of public resources is vital for national economic growth, stability, and development.
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