Nigeria has recorded its strongest fiscal performance in recent history, generating a total revenue of N20.59 trillion between January and August 2025. This figure represents a remarkable 40.5 percent increase compared to N14.6 trillion collected during the same period in 2024, largely driven by the non-oil sector contributing N15.69 trillion accounting for three-quarters of the total revenue.
The Presidency, through Special Adviser Bayo Onanuga, credited this milestone to comprehensive reforms focused on strengthening tax compliance, digitizing tax administration, and reducing government borrowing. President Bola Tinubu emphasized that since the beginning of the year, the federal government has refrained from borrowing from local banks, signaling robust fiscal discipline and improved revenue mobilization.
One of the significant outcomes of this fiscal strength is unprecedented monthly allocations from the Federation Account Allocation Committee (FAAC) to states and local governments, which for the first time exceeded N2 trillion in July 2025. This enhancement provides subnational governments with greater fiscal space to boost food security, infrastructure, and social services.
Despite these gains, President Tinubu acknowledged that the revenue remains insufficient to fully meet ambitious government investments in education, health, and infrastructure. Efforts continue to bridge these gaps to ensure that fiscal progress translates into tangible benefits for Nigerians.
This fiscal achievement marks a notable shift from past decades of oil dependency toward a more resilient and diversified economy, powered by digitization and reform-driven growth. The Nigeria Customs Service also surpassed revenue targets in the first half of 2025, collecting N3.68 trillion, further underscoring the progress in non-oil revenue generation.
Final validation of these figures will be published by the Budget Office by the end of the year, confirming Nigeria's positive trajectory toward fiscal sustainability and economic reform.