The Federation Account Allocation Committee (FAAC) has approved the disbursement of ₦3.007 trillion to the Federal Government, 36 state governments and 774 local government councils as revenue for July 2026.
At its meeting in Owerri, Imo State, FAAC said the Federal Government received ₦1.146 trillion, while the states received ₦943.352 billion and local governments received ₦673.649 billion.
The committee also shared ₦243.478 billion as 13 per cent derivation revenue to benefiting states.
According to the Office of the Accountant-General of the Federation, gross statutory revenue rose to ₦4.359 trillion in July, an increase of ₦658.087 billion or 17.8 per cent from ₦3.700 trillion recorded in June.
Gross Value Added Tax (VAT) revenue, however, stood at ₦793.968 billion, representing a marginal 0.7 per cent decline from the ₦799.746 billion recorded in June.
FAAC attributed the revenue gains to improved collections across several oil and non-oil revenue streams, including Petroleum Profit Tax, Companies Income Tax, Capital Gains Tax, Stamp Duty, petroleum royalties, mineral royalties, excise duty and gas-flaring penalties.
The committee also highlighted the impact of the Nigeria Tax Act 2025, which took effect on January 1, 2026. Under the new arrangement, states’ share of VAT revenue increased from 50 per cent to 55 per cent, while the Federal Government’s share fell from 15 per cent to 10 per cent.
FAAC urged revenue-generating agencies to maintain discipline in collection and remittance while reaffirming its commitment to diversifying Federation revenue beyond oil.
