The Federation Account Allocation Committee (FAAC) shared a total of N2.04tn as revenue for March 2026, reflecting a N150bn increase from the N1.89tn distributed in February amid stronger statutory inflows.
The disclosure was contained in a statement issued on Wednesday by the Office of the Accountant-General of the Federation and signed by its Director of Press and Public Relations, Bawa Mokwa.
According to the statement, “a total sum of N2.036tn, being March 2026 Federation Account Revenue, has been shared to the Federal Government, states and the local government councils,” at the April 2026 FAAC meeting held in Abuja.
The N2.04tn distributable revenue comprised N1.32tn from statutory revenue, N515.39bn from Value Added Tax (VAT), and N200bn as augmentation.
A breakdown of the allocation showed that the Federal Government received N789.16bn, representing about 38.8 per cent of the total pool. State governments received N657.60bn, accounting for about 32.3 per cent, while local government councils received N468.83bn, or about 23.0 per cent.
Oil-producing states received N120.76bn as derivation revenue, representing roughly 5.9 per cent of the total amount distributed.
The FAAC communiqué noted that a total gross revenue of N2.364tn was available in March 2026. From this amount, N81.08bn was deducted as cost of collection, while N246.87bn was recorded as transfers, refunds, and savings.
Together, these deductions accounted for more than 13 per cent of the gross inflows before the distributable pool was determined.
From the statutory revenue component of N1.32tn, the Federal Government received N632.26bn, states received N320.69bn, and local governments got N247.24bn, while N120.76bn was shared among oil-producing states as derivation revenue.
Similarly, from the N515.39bn VAT pool, the Federal Government received N51.54bn, states received N283.47bn, and local governments got N180.39bn, highlighting the growing importance of consumption taxes in subnational revenues.
From the N200bn augmentation, the Federal Government received N105.36bn, states received N53.44bn, and local governments got N41.20bn, reflecting continued fiscal adjustments to stabilise monthly allocations.
On revenue performance, the communiqué stated that gross statutory revenue of N1.699tn was recorded in March 2026, representing an increase of N137.91bn compared to the N1.56tn generated in February. The improvement largely drove the higher FAAC distribution for the month.
However, VAT collections showed a slight decline. According to the statement, gross VAT revenue stood at N664.425bn in March, lower than the N668.450bn recorded in February by N4.025bn.
The report also noted improved performance in several non-oil tax categories. Companies Income Tax, Capital Gains Tax, Stamp Duties, and Excise Duty recorded significant increases during the period, signalling stronger non-oil revenue mobilisation.
In contrast, Petroleum Profit Tax, Hydrocarbon Tax, oil and gas royalty, import duty, and Common External Tariff receipts declined considerably, reflecting ongoing volatility in oil-related revenues and trade flows.
The latest FAAC outcome indicates that while non-oil taxes are strengthening, fluctuations in oil revenues continue to influence the size and stability of monthly allocations to the three tiers of government.
