How ₦2.43 trillion of federation revenue was shared in a single month
Where the revenue distributed by the Federation Account Allocation Committee (FAAC) for September 2026 came from, and which tier of government received it.
Each month the Federation Account Allocation Committee (FAAC) shares the revenue collected by the federation among the federal government, the 36 states and the 774 local government councils. For September 2026 it distributed ₦2.43 trillion: ₦1.67 trillion of statutory revenue, mainly oil revenue and taxes, and ₦756.6 billion of value added tax (VAT).
Source: Federation Account Allocation Committee (FAAC) communiqué of October 2026, as reported by ThisDay and Nairametrics on 15 October 2026. Distributed revenue only. Gross revenue was ₦3.91 trillion, from which ₦131.8 billion was deducted for the cost of collection and ₦1.35 trillion for transfers, refunds and savings.
Show the figures
| Revenue | Recipient | ₦ billion |
|---|---|---|
| Statutory revenue | Federal Government | ₦756.583bn |
| Statutory revenue | States | ₦383.749bn |
| Statutory revenue | Local governments | ₦295.855bn |
| Statutory revenue | Derivation to oil states | ₦236.049bn |
| VAT | Federal Government | ₦75.659bn |
| VAT | States | ₦416.123bn |
| VAT | Local governments | ₦264.805bn |
The two streams are shared differently. From statutory revenue, the oil-producing states first receive derivation, 13 percent of the revenue from oil and other minerals, and the rest is divided by a fixed formula: 52.68 percent to the federal government, 26.72 percent to the states and 20.60 percent to the local governments. VAT goes mostly to the states and councils: in September the federal government received 10 percent of it, the states 55 percent and the local governments 35 percent.
Taken together, the federal government received ₦832.2 billion, the states ₦799.9 billion plus ₦236.0 billion in derivation, and the local governments ₦560.7 billion. Before any of this was shared, ₦1.48 trillion of the ₦3.91 trillion gross revenue went to the cost of collection and to transfers, refunds and savings.