NEWS | FAAC Allocation Drops for Third Consecutive Month, Hits ₦1.57 Trillion

The Federation Account Allocation Committee (FAAC) has reported a third consecutive monthly decline in revenue disbursements, with the federal, state, and local governments sharing a total of ₦1.578 trillion for March 2025.

This was disclosed in a statement on Tuesday by Bawa Mokwa, Director of Press and Public Relations at the Office of the Accountant General of the Federation. Mokwa noted that the latest figure marks a drop from the ₦1.678 trillion shared in February and the ₦1.703 trillion disbursed in January.

The March allocation consisted of ₦931.33 billion from statutory revenue, ₦593.75 billion from Value Added Tax (VAT), ₦24.97 billion from the Electronic Money Transfer Levy, and ₦28.71 billion from exchange difference revenue.

From the total disbursement, the Federal Government received ₦528.70 billion, while state governments got ₦530.45 billion. Local councils received ₦387 billion, and oil-producing states were allocated ₦132.61 billion as 13% derivation revenue.

The continued decline in monthly disbursements has raised concerns over fiscal pressure on all tiers of government, especially those heavily reliant on federal allocations for recurrent and capital expenditures.