The Federal Government, states and local government areas shared a total of N1.928tn as Federation Account revenue for November 2025, reflecting a notable decline from the N2.094tn distributed in October.
The allocation was approved at the December 2025 meeting of the Federation Account Allocation Committee (FAAC), held in Abuja. This was disclosed in a statement issued on Monday by the Director of Press and Public Relations in the Office of the Accountant-General of the Federation, Bawa Mokwa.
According to the statement, “A total sum of N1.928tn, being November 2025 Federation Account Revenue, has been shared to the Federal Government, States and the Local Government Councils.”
An analysis showed that the November allocation fell by N166bn, representing a 7.93 per cent month-on-month decline compared with the amount shared in October. This drop is significantly steeper than the marginal N9bn or 0.43 per cent decline recorded between September and October, when allocations fell from N2.103tn to N2.094tn.
The FAAC communiqué explained that the N1.928tn distributable revenue for November was made up of N1.403tn from statutory revenue, N485.838bn from Value Added Tax (VAT) and N39.646bn from the Electronic Money Transfer Levy (EMTL).
It further revealed that a total gross revenue of N2.343tn was available for the month. From this amount, N84.251bn was deducted as the cost of collection, while N330.625bn was set aside for transfers, interventions, refunds and savings.
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According to the communiqué, revenue inflows weakened considerably during the month, particularly from both oil and non-oil tax sources. Gross statutory revenue for November stood at N1.736tn, which was N427.969bn lower than the N2.164tn recorded in October.
Similarly, gross VAT revenue declined sharply to N563.042bn in November, representing a drop of N156.785bn from the N719.827bn generated in the previous month.
From the total N1.928tn shared, the Federal Government received N747.159bn, state governments got N601.731bn, while local government councils received N445.266bn. Oil-producing states also received N134.355bn as 13 per cent derivation revenue.
A breakdown of the statutory revenue showed that the Federal Government received N668.336bn, states N338.989bn and local governments N261.346bn, in addition to derivation funds. From the VAT pool, the Federal Government got N72.876bn, states received N242.919bn and local governments N170.043bn. Revenue from the EMTL was shared with the Federal Government receiving N5.947bn, states N19.823bn and local governments N13.876bn.
The FAAC communiqué attributed the lower allocation to broad-based declines across major revenue lines, noting that while excise duty recorded a moderate increase, key sources such as Petroleum Profit Tax, Hydrocarbon Tax, Companies Income Tax, Capital Gains Tax, oil and gas royalties, import duty, CET levies, VAT, EMTL and fees recorded significant drops.
Despite the decline, the Chairman of the Revenue Mobilisation Allocation and Fiscal Commission, Mohammed Shehu, had earlier disclosed that inflows into the Federation Account rose to N23.06tn in the first 10 months of 2025. He attributed the improvement to fiscal reforms, stronger audits and better coordination among revenue agencies.
Meanwhile, a recent BudgIT State of States Report highlighted growing fiscal pressures across the country, revealing that more than 30 states depend heavily on FAAC allocations. The report noted that 31 states relied on FAAC for at least 80 per cent of their current revenue, underscoring the vulnerability of subnational governments to revenue fluctuations.