Nigeria Distributes $1.19 Billion in February Oil and Tax Revenue to Federal and State Governments

Abuja, Nigeria – Nigeria’s Federation Account Allocation Committee (FAAC) has distributed 1.894 trillion naira (approximately $1.19 billion) in February 2026 revenue among the federal government, 36 state governments and 774 local government councils.

The distribution was approved at the committee’s March 2026 meeting in Abuja, the nation’s capital.

Okay News reports that the Federation Account Allocation Committee, known as FAAC, is the body responsible for sharing federally collected revenues across Nigeria’s three tiers of government each month.

The total distributable amount comprised 1.274 trillion naira (approximately $800 million) from statutory revenue sources and 619 billion naira (approximately $389 million) from Value Added Tax. The federal government received the largest share at 675 billion naira (approximately $424 million), followed by state governments at 651 billion naira (approximately $409 million) and local government councils at 456 billion naira (approximately $286 million).

An additional 110 billion naira (approximately $70 million), representing 13 percent of mineral-derived revenue, was distributed separately to oil-producing states under a constitutional derivation arrangement.

February’s figures reflect a notable decline from the previous month. Gross statutory revenue fell by 395 billion naira compared to January 2026, while Value Added Tax revenue dropped from 1.083 trillion naira to 668 billion naira. Revenue from petroleum profit tax, companies income tax and capital gains tax all declined during the period.

However, oil and gas royalties, excise duties and import charges recorded increases, partially offsetting the broader revenue dip.

Monthly FAAC allocations are a critical funding source for state and local governments across Nigeria, many of which depend heavily on federal transfers to finance public services and infrastructure.