Naira notes
Federation Account Allocation Committee (FAAC) has shared a total of N1.894 trillion as revenue generated in February 2026 among the Federal Government of Nigeria, state governments and the 774 local government councils across the country.
The details were contained in a statement issued on Friday by Bawa Mokwa, Director of Press and Public Relations in the Office of the Accountant-General of the Federation.
According to the statement, the revenue distribution was approved during the March 2026 FAAC meeting held in Abuja.
Breakdown of the Distributable Revenue
The N1.894 trillion shared among the three tiers of government comprised:
N1.274 trillion from distributable statutory revenue
N619.119 billion from Value Added Tax (VAT)
The FAAC communiqué also revealed that N2.230 trillion was recorded as total gross revenue for February 2026.
However, N77.302 billion was deducted as cost of revenue collection, while N259.078 billion was set aside for transfers, refunds and savings before the final distribution.
From the total N1.894 trillion distributable revenue, the allocation was shared as follows:
Federal Government: N675.088 billion
State Governments: N651.525 billion
Local Government Councils: N456.467 billion
Derivation (13% mineral revenue): N110.949 billion to eligible states
Statutory Revenue Allocation
Out of the N1.274 trillion statutory revenue, the distribution included:
Federal Government: N613.174 billion
States: N311.010 billion
Local Governments: N239.776 billion
An additional N110.949 billion was paid as 13 per cent derivation revenue to oil-producing states.
*VAT Revenue Distribution*
From the N619.119 billion VAT pool, the allocation was shared as follows:
Federal Government: N61.912 billion
States: N340.515 billion
Local Governments: N216.692 billion
The communiqué further noted that gross statutory revenue for February stood at N1.561 trillion, representing a decline of N395.138 billion compared to the N1.957 trillion recorded in January 2026.
Similarly, gross VAT revenue dropped to N668.450 billion in February, down by N414.710 billion from N1.083 trillion recorded in January.
While oil and gas royalty and excise duty posted significant increases during the month, FAAC said revenues from several other sources declined.
These include Petroleum Profit Tax (PPT), Hydrocarbon Tax (HT), Companies Income Tax (CIT), Capital Gains Tax (CGT), Stamp Duties (SDT) and Value Added Tax (VAT), all of which recorded noticeable declines during the period.
