FAAC disburses N2.55trn to federal, state, local govts, as federal account revenue hit N4.5trn in June

The federal, state and local governments received a total of N2.55 trillion as allocation form the Federation Account Allocation Committee (FAAC), this is as the gross revenue available in the federation account in June 2026 stood at N4.501 trillion.

BusinessDay’s findings showed that the total sum disbursed to the three tiers of government represents the highest monthly allocation in 2026.

At N2.55 trillion, the June allocation is higher than N2.30 trillion disbursed in May, 2.25 trillion disbursed in April, N2.04 trillion in March.

 

 

It is also higher than N1.96trillion and N1.89 trillion in disbursed in the months of January and february respectively.

 

 

Of the N2.55 trillion disbursed, the Federal Government received N923.438 billion, the State Governments N838.208 billion, the Local Government Councils N591.390 billion, while N197.610 billion was shared as 13 per cent derivation to the oil producing States.

 
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The amount which was disbursed at the FAAC July 2026 meeting chaired by Taiwo Oyedele, Minister of Finance and Coordinating Minister of the Economy, comprised N1.810 trillion in statutory revenue and N740.724 billion from Value Added Tax (VAT).

 

 

From the total statutory revenue, the Federal Government received N849.366 billion, the State Governments 430.810 billion, while the Local Government Councils received 332.136 billion, while the oil producing States also received N197.610 billion as 13 per cent derivation.

 

 

 

Also, from the VAT revenues, the Federal Government receive N74.072 billion, the State Governments N407.398 billion, while the Local Government Councils received N259.253 billion.

 

 

 

FAAC noted a strong improvement in revenue performance during the month, as gross revenue available in June 2026 stood at N4.501 trillion, comprising N3.701 trillion in statutory revenue and N799.746 billion in gross VAT collections.

 

 

 

It stated that the gross statutory revenue increased by N1.049 trillion over the figure recorded in May 2026, attributing the revenue growth to higher receipts from Companies Income Tax, Value Added Tax, Import Duty, Customs Excise Tariff Levies, Petroleum Royalties, Gas Flared Penalties, Rental Income and Miscellaneous Oil Revenue.

 

 

“Gross VAT revenue rose from N743.668 billion in May to N799.746 billion in June, representing an increase of N56.078 billion.

 

 

“However, collections from Petroleum Profit Tax, Hydrocarbon Tax, Mineral Royalties and Fees recorded declines,” the committee stated.