The Federal Government, 36 states and 774 local government councils have shared N2.338 trillion in revenue generated in August 2026, according to the Federation Account Allocation Committee (FAAC).
The allocation was approved at the September 2026 FAAC meeting in Abuja, with the figures disclosed by Bawa Mokwa, Director of Press and Public Relations at the Office of the Accountant-General of the Federation.
The N2.338 trillion distributable revenue comprised N1.565 trillion in statutory revenue and N773.233 billion from Value Added Tax (VAT). A total gross revenue of N3.685 trillion was available for the month, but N125.142 billion was deducted as the cost of revenue collection, while N1.221 trillion was allocated to transfers, refunds and savings.
From the amount shared, the Federal Government received N804.897 billion, while the state governments received N794.313 billion. Local government councils received N555.142 billion, while N184.388 billion, representing 13 per cent mineral revenue derivation, was distributed to benefiting states.
The latest allocation represents a decline from the N3.007 trillion distributed in the previous month. The reduction was largely linked to a significant fall in statutory revenue, which dropped from N4.359 trillion in July to N2.850 trillion in August, a decrease of N1.508 trillion.
However, VAT revenue recorded an increase during the period. Gross VAT collections rose to N834.843 billion in August from N793.968 billion in July, representing a N40.875 billion increase.
FAAC also reported mixed performances across other revenue sources. Petroleum Profit Tax, Hydrocarbon Tax, VAT, Customs and Excise Tariff levies and Excise Duty increased, while Companies Income Tax, Capital Gains Tax, Stamp Duty, petroleum royalties and other revenue streams declined.
The monthly FAAC distribution remains an important source of funding for Nigeria’s three tiers of government, particularly for states and local councils that rely heavily on federally collected revenue to finance public services, infrastructure and recurrent expenditure.
