Non-Oil Gains Lift September Revenue to N2.1tr — FAAC

Non-Oil Gains Lift September Revenue to N2.1tr — FAAC

JOEL OLADELE, Abuja

The Federation Account Allocation Committee (FAAC) has shared a total of N2.103 trillion among the three tiers of government as revenue allocation for September 2025, driven largely by increased inflows from non-oil sources such as Value Added Tax (VAT) and Electronic Money Transfer Levy (EMTL).

A communiqué issued at the end of FAAC’s meeting for October 2025, chaired by the Accountant General of the Federation, Shamsudeen  Ogunjimi, showed that the total distributable revenue came from a gross total of N3.054 trillion.

From the amount, the Federal Government received N711.314 billion, States N727.170 billion, and Local Government Councils N529.954 billion, while oil-producing states got N134.956 billion as 13 per cent derivation revenue.

The statement signed by the Director of Information and Public Relations, Mohammed Manga, noted that VAT, Import Duty, and EMTL recorded significant increases in September, while Company Income Tax (CIT) and Customs Levies declined.

According to the communiqué, gross revenue from VAT rose to N872.630 billion, up by N150.011 billion from N722.619 billion recorded in August. Out of this, N34.905 billion was set aside for collection costs and N25.132 billion for transfers and refunds, leaving N812.593 billion for distribution.

The Gross Statutory Revenue for the month stood at N2.128 trillion, lower than the N2.838 trillion received in August by N710.134 billion. From this, N79.090 billion went for collection costs and N809.873 billion for transfers and interventions, leaving N1.239 trillion for distribution.

In addition, N53.838 billion from the Electronic Money Transfer Levy (EMTL) was shared among the three tiers of government, with the Federal Government receiving N7.753 billion, States N25.842 billion, and Local Governments N18.089 billion, while N2.154 billion was earmarked for collection costs.

FAAC noted that the growth in VAT and EMTL collections reflected ongoing efforts to strengthen non-oil revenue mobilisation through fiscal and digital reforms.

“Despite fluctuations in oil receipts, the performance of non-oil revenue remains strong and continues to support government finances,” the communiqué stated.

The Committee assured that fiscal reforms by the Federal Government would continue to improve revenue transparency and ensure fair distribution of national income among the three tiers of government.