Federation account inflows jump to N35tn in 2025 — AGF

Shamseldeen Ogunjimi, accountant-general of the federation (AGF), says inflows into the federation account rose to N35 trillion in 2025, up from N27 trillion in 2024 — an increase of N8 trillion or 29.63 percent.

Ogunjimi spoke on Monday at the federation account allocation committee (FAAC) post-mortem sub-committee retreat in Enugu. He was represented by Rita Okolie, director of federation account. The retreat focused on assessing fiscal and sectoral policies for closing revenue leakages in the federation account.

The AGF attributed the growth to fiscal reforms introduced by the administration of Bola Tinubu, adding that the trend points to a gradual shift toward a more resilient economy with reduced reliance on oil revenue.

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He said the federation account remains the fiscal backbone of Nigeria’s federal system, serving as the main pool through which national resources are mobilised and shared among the three tiers of government. However, he warned that revenue shortfalls, oil-price volatility, weak non-oil receipts, and systemic leakages continue to affect efficiency and predictability.

“Our recent progress is undeniable,” Ogunjimi said. “In 2025, inflows rose above N35 trillion, a significant jump from N27 trillion in 2024.”

He described revenue leakages as concrete and measurable losses occurring at three points — collection, remittance, and expenditure oversight — noting that each loss translates into stalled infrastructure and delayed public services.

Also speaking, Doris Uzoka-Anite, minister of state for finance, said the ministry would continue to promote equity, fairness, and transparency in the management of the federation account. She was represented by Ali Mohammed, director of home finance.

Mohammed Shehu, chairman of the Revenue Mobilisation Allocation and Fiscal Commission (RMAFC), said funds available for distribution have increasingly been shaped by economic performance, fiscal and sectoral policies, legislative changes, and financing arrangements. He was represented by Eyo-Nsa Whiley, vice-chairman of the FAAC post-mortem sub-committee.