Africazine:
The Federation Account Allocation Committee has disbursed N1.894 trillion in February 2026 revenue to various levels of government in Nigeria.
This allocation includes N1.274 trillion in statutory revenue and N619.119 billion from value-added tax (VAT). The total gross revenue available for February was N2.230 trillion, after deductions for costs and transfers.
Nigeria’s February 2026 Revenue Allocation Breakdown
The FAAC meeting in March 2026 revealed the distribution of N1.894 trillion among the federal, state, and local governments. The federal government received N675.088 billion, while state governments were allocated N651.525 billion. Local government councils received N456.467 billion.
Additionally, N110.949 billion was set aside for oil-producing states as derivation revenue. This allocation reflects the ongoing financial dynamics within Nigeria’s federal structure.
Nigeria: Key figures on February 2026 Revenue Allocation
- N1.894 trillion total disbursed revenue
- N1.274 trillion distributable statutory revenue
- N619.119 billion from value-added tax (VAT)
- N2.230 trillion total gross revenue available
- N77.302 billion deducted as cost of collection
- N259.078 billion set aside for transfers, refunds, and savings
- N1.561 trillion gross statutory revenue received
- N395.138 billion decline compared to previous month
- N668.450 billion generated from VAT
- N414.710 billion decline from January 2026 VAT
- N613.174 billion federal government statutory revenue
- N311.010 billion state governments statutory revenue
- N239.776 billion local government councils statutory revenue
- N61.912 billion federal government VAT revenue
- N340.515 billion state governments VAT revenue
- N216.692 billion local government councils VAT revenue
Context of Revenue Generation in Nigeria
The report highlights a decline in several revenue streams, including petroleum profit tax and value-added tax, which saw significant drops. However, oil and gas royalties and excise duties experienced notable increases during the same period.
This fluctuation in revenue sources underscores the challenges and opportunities within Nigeria’s economic landscape, particularly in the oil and gas sector.
Next Steps for Nigeria’s Revenue Management
- Monitoring of revenue trends in the upcoming months
- Potential adjustments to fiscal policies based on revenue performance
- Continued assessment of the impact of oil prices on revenue
Nigeria’s February 2026 revenue allocation reflects significant financial movements among government tiers.
