The three tiers of Nigerian government the Federal Government, State Governments, and Local Government Councils have collectively shared a total of N2.001 trillion as the distributable revenue for July 2025, following the Federation Account Allocation Committee (FAAC) meeting held in Abuja in August 2025.
The total distributable sum of N2.001 trillion comprised several key revenue sources: distributable statutory revenue of N1.283 trillion, distributable Value Added Tax (VAT) revenue of N640.610 billion, Electronic Money Transfer Levy (EMTL) revenue of N37.601 billion, and an Exchange Difference of N39.745 billion.
According to the FAAC communiqué, a total gross revenue of N3.837 trillion was available for July 2025. However, after deductions for the cost of revenue collection amounting to N152.681 billion, alongside total transfers, interventions, refunds, and savings of N1.683 trillion, the net distributable amount settled at N2.001 trillion.
Breakdown of the revenue distribution showed the Federal Government receiving N735.081 billion, State Governments N660.349 billion, and Local Government Councils N485.039 billion. In addition, derivation revenue totaling N120.359 billion (13% of mineral revenue) was paid to benefiting oil-producing states.
Focusing on the components: From the N1.283 trillion distributable statutory revenue, the Federal Government received N613.805 billion, states received N311.330 billion, local governments got N240.023 billion, and N117.714 billion was marked as derivation revenue.
The N640.610 billion distributable VAT revenue was shared as N96.092 billion to the federal government, N320.305 billion to states, and N224.214 billion to local governments. Furthermore, the Electronic Money Transfer Levy revenue of N37.601 billion brought in N5.640 billion for the federal government, N18.801 billion for states, and N13.160 billion for local councils.
The exchange difference revenue of N39.745 billion was split among the tiers, with the federal government receiving N19.544 billion, states N9.913 billion, local governments N7.643 billion, and derivation revenue of N2.643 billion.
July 2025 also saw significant increases in revenue components such as Petroleum Profit Tax (PPT), Oil and Gas Royalty, Electronic Money Transfer Levy (EMTL), and Excise Duty, while VAT and import duties experienced slight growth. Companies Income Tax (CIT) and Common External Tariff (CET) levies, however, recorded declines.