The Federation Account Allocation Committee (FAAC) has shared N2.55 trillion among the Federal Government, the 36 states and the 774 local government councils as allocation for June 2026 revenue, marking a N250 billion increase over the N2.3 trillion distributed in the previous month.
The latest disbursement, announced after FAAC’s July 2026 meeting in Abuja, represents a 10.9 per cent month-on-month increase, continuing the steady rise in federation revenue recorded this year.
The details were contained in a communiqué issued on Wednesday and signed by the Director of Press and Public Relations in the Office of the Accountant-General of the Federation, Bawa Mokwa.
“A total sum of N2.55tn, being June 2026 Federation Account Revenue, has been shared to the Federal Government, States and the Local Government Councils,” the statement said.
According to the communiqué, the distributable revenue comprised N1.81 trillion from statutory revenue and N740.72 billion from Value Added Tax (VAT).
FAAC disclosed that the total gross revenue available for June stood at N4.5 trillion, from which N160.74 billion was deducted as the cost of collection, while N1.79 trillion was set aside for transfers, interventions and refunds.
The committee reported a significant improvement in statutory revenue, which rose from N2.65 trillion in May to N3.7 trillion in June, representing an increase of N1.05 trillion.
Gross VAT receipts also climbed from N743.69 billion in May to N799.75 billion in June, reflecting an increase of N56.08 billion.
Explaining the improved revenue performance, the communiqué stated:
“In June 2026, Companies Income Tax, CGT, SDT, Petroleum Royalties, Gas Flared, Rental & MOR, Value Added Tax, Import Duty and CET Levies increased significantly while Petroleum Profit Tax, Hydrocarbon Tax, Mineral Royalties and Fees decreased considerably. Excise Duty increased only marginally.”
From the total distributable revenue of N2.55 trillion, the Federal Government received N923.44 billion, while the 36 state governments shared N838.21 billion.
The 774 local government councils received N591.39 billion, while oil-producing states got N197.61 billion as 13 per cent derivation revenue.
A breakdown of the statutory revenue showed that the Federal Government received N849.37 billion, the states N430.81 billion, and the local governments N332.14 billion, while the oil-producing states received the N197.61 billion derivation allocation.
From the N740.72 billion VAT revenue, the Federal Government received N74.07 billion, the states shared N407.4 billion, while local government councils received N259.25 billion.
The latest FAAC distribution was driven by stronger collections from Companies Income Tax, petroleum royalties, Value Added Tax, import duties and other key revenue sources, despite declines in Petroleum Profit Tax, Hydrocarbon Tax, mineral royalties and related fees.
The sharp rise in statutory revenue and improved VAT collections pushed the June allocation to one of the highest levels recorded this year, providing increased funding for the three tiers of government.
