…As statutory revenue rises by N658.087b

The Federation Account Allocation Committee (FAAC), says it has shared N3 007 trillion July revenue among the federal, states and local government areas in the country.

This is even as the committee reported that the rise in the amount shared was driven by an improved collection performance across oil and non-oil statutory sources resulting in a gross statutory revenue increase of N4.359 trillion in July 2026, up by N658.087 billion or 17.8 per cent above the N3.700 trillion collected in June 2026,

FAAC in a communiqué issued at the end of its August 2026 meeting held in Owerri, Imo State, however noted that though gross value added tax (VAT) revenue held broadly steady at N793.968 billion, it recorded a marginal decline of N5.778 billion or 0.7 from N799.746 billion in June, suggesting that consumption-tax receipts remain resilient month-on-month.

The report shows that the Federal Government received total sum of N1.146 trillion, the State Governments received total sum of N943.352 billion, the Local Government Councils received N673.649 billion and the sum of N243.478 billion (13 per cent of mineral revenue) was shared to the benefiting State as derivation revenue.

The communiqué attributed the month’s gains to broad-based strength across several revenue lines. Petroleum Profit Tax (PPT), Hydrocarbon Tax (HT), Companies Income Tax (CIT), Capital Gains Tax (CGT), Stamp Duty Tax (SDT), Petroleum Royalties, Mineral Royalties, Excise Duty and Gas Flared Penalty all recorded significant increases in July 2026, pointing to firmer compliance and collection efficiency across both oil and non-oil channels.

However, these gains were partly offset by declines in Value Added Tax (VAT), Import Duty, CET Levies, Rental of Gas Flared Fee and Miscellaneous Oil Revenue, which the Committee says it will continue to monitor as it works with revenue-generating agencies to close collection gaps and improve remittance discipline.

A statement signed by the Director (Press and Public Relations) Office of the Accountant-General of the Federation, Bawa Mokwa, said the committee also during the meeting reaffirmed commitment to full, transparent and timely remittance of collectible revenue by all revenue-generating agencies into the Federation Account, ahead of the accounts reconciliation exercise for the period; continued emphasis on diversifying the federation’s revenue base beyond oil, in line with ongoing tax administration and non-oil revenue mobilisation reforms; and alignment between FAAC’s technical work and the National Council of Federation and Economic Development (NACOFED) platform, reinforcing coordination between the Federal Government and States on fiscal policy, revenue-sharing and shared economic development priorities.

The Committee noted that sustaining the statutory revenue gains recorded in July 2026 will depend on continued discipline in collection and remittance across Ministries, Departments and Agencies (MDAs), and reiterated its support for reforms aimed at improving the predictability and growth of allocations to all three tiers of government