October 07, (THEWILL) — Nigeria’s 36 states and the Federal Capital Territory (FCT) generated a combined N3.63 trillion in Internally Generated Revenue (IGR) in 2024, with Lagos State alone accounting for more than one-third of the total.
According to the latest data released by the National Bureau of Statistics (NBS) in collaboration with the Federal Inland Revenue Service (FIRS) on Tuesday, October 7, Internally Generated Revenue (IGR) across Nigeria’s 36 states and the Federal Capital Territory (FCT) rose to a cumulative N10.88 trillion between 2021 and 2024.
The report shows that in 2024 alone, Nigerian states collectively generated a record N3.63 trillion in IGR– the highest in the four years. This represents a 49.7 percent increase from the N2.43 trillion generated in 2023.
The upsurge in IGR is driven primarily by tax revenue, particularly in Lagos and Enugu States.
Tax revenue remains the dominant contributor to IGR, accounting for approximately 73% of total state-generated income over the four years. In 2024, tax revenue stood at N2.66 trillion, while other sources, such as fees, licences, and earnings from state-owned enterprises, contributed N968 billion.
In 2023, states collectively realised N2.43 trillion, made up of N1.95 trillion in tax revenue and N478 billion from other sources. The previous year, 2022, saw a total IGR of N1.93 trillion, comprising N1.47 trillion from taxes and N455 billion from other income.
The lowest IGR figure in the period was recorded in 2021 at N1.90 trillion, with N1.23 trillion coming from taxes and N666 billion from other sources.
While Lagos and a few other economically vibrant states are presumed to account for a significant chunk of the revenue, the NBS data underscores an overall national trend towards enhanced sub-national revenue mobilisation.
The report showed that Lagos State retained its position as the country’s undisputed economic powerhouse, generating N1.26 trillion — more than the combined total of the next three states, Rivers (N317.30 billion), the Federal Capital Territory (N282.36 billion), and Ogun (N194.93 billion).
Lagos’ IGR figure, which represents roughly 35 percent of Nigeria’s total subnational revenue, underscores its strong tax base and diversified economy anchored on commerce, manufacturing, and services. The performance also reflects ongoing efforts by the state government to expand digital tax administration and improve compliance through its Internal Revenue Service.
The data highlights a widening fiscal divide between southern and northern states. Of the top 10 IGR performers, eight are from southern states. Enugu emerged as a surprise performer, ranking fifth nationally with N180.50 billion — ahead of oil-rich Delta (N157.79 billion) and Edo (N91.15 billion).
Enugu’s strong showing signals improving fiscal reforms and expanding urban economic activities. Analysts say the state’s performance could attract greater investor confidence and strengthen its fiscal autonomy from federal allocations.
Other southern states, such as Akwa Ibom (N75.77 billion), Oyo (N65.29 billion), and Bayelsa (N64.01 billion), also featured prominently among the top half, reflecting stronger internal revenue mobilisation and improved economic productivity.
While Kano (N74.77 billion) and Kaduna (N71.57 billion) ranked ninth and tenth, respectively, most northern states continued to post weak IGR outcomes relative to their population and size. Jigawa (N59.46 billion) was the only other northern state among the top 15.
At the bottom of the ranking, Yobe generated N11.08 billion, the lowest in the federation, followed by Ebonyi (N13.18 billion) and Kebbi (N16.97 billion).
Highlights:
- 2024 Total IGR: N3,633,054,718,156.89
- Tax Revenue: N2,664,892,825,615.90
- Other Revenue: N968,161,892,540.99
- 2023 Total IGR: N2,426,919,598,107.84
- Tax Revenue: N1,948,902,473,298.05
- Other Revenue: N78,017,124,809.79
- 2022 Total IGR: N1,925,612,626,650.76
- Tax Revenue: N1,470,540,449,460.47
- Other Revenue: N455,072,177,190.29
- 2021 Total IGR: N1,895,786,762,263.80
- Tax Revenue: N1,229,889,699,721.98
- Other Revenue: N665,897,062,541.82
The figures underscore the persistent dependence of many northern and rural states on federal allocations from oil revenue rather than internally sustained economic activity.
Sam Diala is a Bloomberg Certified Financial Journalist with over a decade of experience in reporting Business and Economy. He is Business Editor at THEWILL Newspaper, and believes that work, not wishes, creates wealth.
