FAAC: How FG, States, LGs Shared ₦2.225 Trillion for August

By David Odama

The Federation Account Allocation Committee (FAAC), chaired by the Minister of Finance and Coordinating Minister of the Economy, Wale Edun, has disbursed ₦2.225 trillion to the three tiers of government for August 2025, out of a gross revenue of ₦3.635 trillion.

According to the breakdown, the Federal Government received ₦810.047 billion, states got ₦709.831 billion, local government councils received ₦522.228 billion, while oil-producing states (13% derivation) received ₦183.012 billion.

Director of Information and Public Relations, Mohammed Manga, explained in a statement that deductions included ₦124.839 billion for the cost of collection and ₦1.285 trillion for transfers, interventions, and refunds. VAT revenue rose to ₦722.619 billion, representing an increase of ₦34.679 billion compared to July.

After the deductions, ₦672.903 billion was shared as follows: Federal Government ₦100.935 billion, states ₦336.452 billion, and local governments ₦235.516 billion. Statutory revenue for August stood at ₦2.838 trillion, slightly below July’s ₦3.070 trillion.

The committee further disclosed that EMTL contributed ₦33.685 billion, while ₦41.284 billion from exchange differences was also distributed. Oil and gas royalties, VAT, and CET levies recorded significant growth, while PPT, import duty, EMTL, CIT, and excise duty witnessed declines.

Minister Edun commended FAAC for efficient resource management, noting that ongoing economic reforms are already producing positive results. He assured that “better days are ahead,” and urged prudent use of public funds to meet the needs of citizens.

Source: National Update