Revenue shortfall hits Federation Account

The Federal Government, states, and local councils shared N1.928tn from the Federation Account for November 2025, down from N2.094tn in October, the Accountant-General’s office announced.

According to a statement by Bawa Mokwa, Director of Press and Public Relations, the allocation reflected a 7.93 per cent month-on-month decline, largely due to weaker revenue inflows from both oil and non-oil sources.

“The distributable revenue for November consisted of N1.403tn from statutory revenue, N485.838bn from Value Added Tax, and N39.646bn from the Electronic Money Transfer Levy,” the statement said.

From the total shared, the Federal Government received N747.159bn, states got N601.731bn, and local governments received N445.266bn. Oil-producing states also received N134.355bn as 13 per cent derivation revenue.

The drop in allocations was attributed to declines in major revenue streams, including Petroleum Profit Tax, Hydrocarbon Tax, Companies Income Tax, Capital Gains Tax, VAT, and fees, although excise duty saw a slight increase.

Despite the November fall, the Revenue Mobilisation Allocation and Fiscal Commission reported that inflows into the Federation Account rose to N23.06tn in the first ten months of 2025, credited to fiscal reforms and improved coordination among revenue agencies.