Oritsegbubemi Omatseyin
Lagos — The Federation Account Allocation Committee, FAAC, at its March 2026 meeting chaired by the Minister of Finance and Coordinating Minister of the Economy, Wale Edun, shared a total sum of N1.894 trillion to the three tiers of government as Federation Allocation for the month of February 2026, from a gross total of N2.230 trillion.
From the stated amount inclusive of Gross Statutory Revenue and Value Added Tax, VAT, the Federal Government received N675.086 billion, the States received N651.525 billion, the Local Government Councils got N456.467 billion, while the Oil Producing States received N110.949 billion as Derivation(13% of Mineral Revenue).
The sum of N77.302 billion was given for the cost of collection, while N259.078 billion was allocated for Transfers Intervention and Refunds.
The Communique issued by the Federation Account Allocation Committee, FAAC, at the end of the meeting indicated that the Gross Revenue available from the Value Added Tax for the month of February 2026, was N668.450 billion as against N1.083 trillion distributed in the preceeding month, resulting in a decrease of N414.710 billion.
From the stated amount, the sum of N26.738 billion was allocated for the cost of collection and the sum of N22.593 billion given for Transfers, Intervention and Refunds. The remaining sum of N619.119 billion was distributed to the three tiers of government, of which the Federal Government got N61.912 billion, the States received N340.515 billion and Local Government Councils got N216.692 billion.
Accordingly, the Gross Statutory Revenue of N1.561 trillion received for the month was lower than the sum of N1.957 trillion received in the previous month by N395.138 trillion .
From the stated amount, the sum of N50.564 billion was allocated for the cost of collection and a total sum of N236.485 billion for Transfers, Intervention and Refunds.
The remaining balance of N1.274 trillion was distributed as follows to the three tiers of government: Federal Government got the sum of N613.174 billion, States received N311.010 billion, the sum of N239.776 billion was allocated to LGCs and N110.949 billion was given as Derivation Revenue (13% Mineral producing States).
Oil and Gas Royalty and Excise Duty increased significantly, while Petroleum Profit Tax (PPT), Hydrocarbon Tax (HT), Companies Income Tax, CIT/CGT and SDT and Value Added Tax decreased substantially. Import Duty and CET Levies, increased marginally.
According to the Communique, the total revenue distributable for the current month of February 2026, was drawn from Statutory Revenue of N1.274 trillion and Value Added Tax of N619.119 billion, bringing the total distributable amount for the month to N1.894 trillion.
