Nigeria FAAC allocates N1.928 trillion to federal, states and councils in November, finance ministry says

ABUJA, Nigeria (Epicstorian News) — The Federation Account Allocation Committee (FAAC) allocated a total of N1.928 trillion to the federal, state and local governments for the month of November 2025.

The sum was drawn from a gross revenue pool of N2.343 trillion, the committee’s communiqué shows.

The allocation was confirmed at FAAC’s December 2025 meeting, which the Minister of State for Finance, Dr. Doris Uzoka-Anite, chaired.

The document lists statutory revenue, value added tax (VAT) and electronic money transfer levy (EMTL) as the principal sources of the distributable pool.

FAAC November allocation Nigeria breakdown

From the distributable pool, the federal government received N747.159 billion. State governments were allocated N601.731 billion and local government councils received N445.266 billion, according to the FAAC statement.

The communiqué also records a N134.355 billion allocation to oil-producing states as derivation revenue, equal to 13 percent of mineral receipts under Nigeria’s revenue-sharing framework. FAAC presented the numbers as final for the November cycle.

Collection costs and intervention deductions

FAAC deducted N84.251 billion for the cost of collection before distributing the balance. The committee further designated N330.625 billion for transfers, interventions and refunds, which reduced the net distributable amount.

Those deductions followed standard fiscal practice for FAAC disbursements and were listed as separate line items in the official communiqué. The committee did not report any exceptional one-off deductions for the month.

VAT slump reduces November pool

Gross VAT receipts for November were recorded at N563.042 billion, down from N719.827 billion a month earlier. FAAC said the month-on-month decline totaled N156.785 billion, narrowing the VAT component of the distributable revenue.

After N22.522 billion in collection costs and N54.682 billion in transfers and refunds were applied to the VAT pool, the remaining N485.838 billion was shared among federal, state and local governments. The federal share from VAT was N72.876 billion.

VAT allocations to each tier

From the distributed VAT balance, states received N242.919 billion while local councils were allocated N170.043 billion. FAAC confirmed that these amounts followed the standing VAT-sharing formula.

Officials noted the VAT shortfall was a primary driver of the lower overall distribution for November. The communiqué described the decline without assigning it to any single policy change or administrative action.

Statutory revenue weakness

Gross statutory revenue for November was N1.736 trillion, down from N2.164 trillion in October — a month-on-month fall of N427.969 billion. FAAC listed the drop among the main reasons distributable receipts fell below the N2 trillion mark.

From statutory revenues, N59.993 billion was allocated for collection costs and N273.925 billion was earmarked for transfers, interventions and refunds. The remaining statutory distributable pool totaled N1.403 trillion.

How statutory receipts were split

FAAC allocated N668.336 billion of statutory receipts to the federal government. States received N338.989 billion while local government councils obtained N261.346 billion from the statutory pool. The derivation allocation to oil-producing states was reiterated.

FAAC’s breakdown reflects a continued vulnerability of statutory revenue streams to shifts in oil sector receipts and company tax performance. The committee’s communiqué confined itself to recorded figures rather than causal analysis.

EMTL yields and distribution

The communiqué recorded N43.400 billion from the Electronic Money Transfer Levy for November. The federal share was N5.947 billion, states received N19.823 billion and local councils were allocated N13.876 billion. The EM TL pool had N1.736 billion deducted as collection cost.

An additional N2.018 billion from EMTL proceeds was placed into transfers, refunds and savings. FAAC treated EMTL as a distinct revenue stream and itemised its components in the final statement.

Tax streams: gains and falls

FAAC noted a moderate increase in excise duty receipts but recorded substantial month-on-month decreases across several major lines. The communiqué listed declines in petroleum profit tax, hydrocarbon tax, company income tax on upstream activities, import duty and other levies.

Other revenue heads including oil and gas royalties, customs-derived levies and a number of non-oil fees also fell. FAAC presented the numbers without issuing immediate policy prescriptions. Analysts will likely monitor whether these trends persist into the new fiscal period.

Context from recent FAAC cycles

FAAC distributions have fluctuated during 2025 as oil sector volatility and tax collection dynamics affected receipts. Monthly communiqués have repeatedly highlighted sensitivity to oil prices and upstream collection performance.

Across the year, FAAC’s monthly statements reflect an economy still adjusting to shifting revenue patterns and the fiscal impact of global commodity movements. The committee’s role remains to distribute verified receipts according to established formulas.

Immediate fiscal implications

Lower monthly allocations reduce short-term cash flows available to states and local councils, affecting recurrent spending and capital projects funded from the federation account. Subnational officials historically depend on FAAC disbursements to meet payroll and service obligations.

FAAC’s communiqué did not specify any temporary measures to smooth flows. State finance officers will likely adjust short-term plans based on the reduced November allocation and await the next FAAC cycle.

Signatory and official record

The FAAC communiqué was signed by Mohammed Manga, Director of Information and Public Relations, and dated December 15, 2025. The document forms the official record for the November allocation cycle.

FAAC confined its release to the distribution figures and standard deductions. It did not include forward-looking revenue projections or policy changes in the communiqué.

Contraction, weaker statutory and VAT receipts

The N1.928 trillion distributable amount reflects a contraction driven principally by weaker statutory and VAT receipts.

Related: FRSC to prosecute TikTok streamer Peller for reckless driving after breakup livestream

Government officials and subnational authorities will now factor the November outcome into budget execution and short-term planning.

FAAC’s published figures will be used as the basis for internal budget adjustments and public financial reporting.

Up next

Dangote Assures Nigerians of ‘Stable’ Christmas Fuel Supply, Cites Rising Output SERAP Sues Akpabio, Abbas Over ₦18.6bn National Assembly Complex Payments Dispute 2Baba’s Wife Natasha Irobosa Summoned by Edo Assembly over Ethics Review Police Discover Decomposed Corpses in Imo Mortuary, Commissioner Aboki Danjuma Confirms Security Operation