The Federation Account Allocation Committee (FAAC) has disbursed ₦2.225 trillion as federation revenue for August 2025, the highest allocation ever to the three tiers of government and other statutory recipients.

The August disbursement, announced after the FAAC meeting in Abuja, marks the second consecutive month that allocations have surpassed ₦2 trillion. According to a communiqué issued at the end of the meeting, the surge was driven by increases in oil and gas royalties, value-added tax (VAT), and Common External Tariff (CET) levies.

Of the total amount shared, ₦1.478 trillion came from statutory revenue, ₦672.903 billion from VAT, ₦32.338 billion from the Electronic Money Transfer Levy (EMTL), and ₦41.284 billion from exchange rate gains.

The federation’s total revenue for the month stood at ₦3.635 trillion. From this, ₦124.839 billion was deducted as collection costs, while ₦1.285 trillion was set aside for transfers, interventions, refunds, and savings.

Breakdown of the distribution shows:

• Federal Government: ₦684.462 billion (statutory), ₦100.935 billion (VAT), ₦4.851 billion (EMTL), and ₦19.799 billion (exchange difference).
• State Governments: ₦347.168 billion (statutory), ₦336.452 billion (VAT), ₦16.169 billion (EMTL), and ₦10.042 billion (exchange difference).
• Local Governments: ₦267.652 billion (statutory), ₦235.516 billion (VAT), ₦11.318 billion (EMTL), and ₦7.742 billion (exchange difference).

In addition, oil-producing states received ₦179.311 billion as 13 percent derivation revenue from statutory allocation, along with ₦3.701 billion from exchange rate differences.