The Federation Account Allocation Committee (FAAC) distributed about N17.07 trillion to the three tiers of government and other statutory beneficiaries in the first half of 2026, with sub-national governments receiving N518 billion through a special infrastructure development fund in May and June.
An analysis of monthly FAAC disbursement statements released by the Office of the Accountant General of the Federation (OAGF) showed that gross allocations increased from N2.59 trillion in January to N3.40 trillion in June.
The increase was driven by statutory revenue, non-oil revenue augmentations and other inflows during the period.
The records also showed that N750 billion was channelled through the Federation Account into two security-related funds. This comprised N250 billion for the Military Intervention Fund (MIF) in May and N500 billion for the National Security Emergency Fund (NSEF) in June.
However, the statements did not provide details of the specific projects, agencies or operations to be financed with the infrastructure and security funds.
In January, FAAC distributed N2.59 trillion from December 2025 revenue. The Federal Government received N653.50 billion, states received N706.47 billion and local governments got N513.27 billion, while N402.60 billion was transferred to the non-oil excess account.
The February distribution rose to N3.04 trillion, supported by a N100 billion non-oil revenue augmentation. The Federal Government received N577.91 billion, states N794.01 billion and local governments N537.88 billion, while N850.56 billion went into the non-oil excess account.
March recorded total distributions of N2.23 trillion, comprising N675.09 billion for the Federal Government, N651.53 billion for states and N456.47 billion for local governments.
In April, total distributions increased to N2.63 trillion, following a N200 billion non-oil augmentation and N68.10 billion from solid minerals revenue. The Federal Government received N820.37 billion, states N673.43 billion and local governments N481.03 billion.
The May allocation climbed to N3.185 trillion, supported by a N250 billion augmentation. The Federal Government received N787.35 billion, states N772.36 billion and local governments N540.15 billion.
June recorded the highest monthly distribution during the six-month period, with gross allocations reaching N3.395 trillion. The Federal Government received N818.68 billion, states N759.14 billion and local governments N534.28 billion.
The May FAAC statement listed N252 billion under the infrastructure development fund for states, alongside the N250 billion Military Intervention Fund.
Another N266 billion was allocated to the infrastructure development fund in June, bringing the total for the two months to N518 billion.
The June statement also included N500 billion for the National Security Emergency Fund, N50 billion transferred to the Nigeria Sovereign Investment Authority and N100 billion as a tax refund to the Nigeria Revenue Service.
The security-related allocations came amid continuing concerns over terrorism, banditry, kidnapping and other violent crimes across the country.
However, the OAGF statements did not specify how the special security funds would be administered or the particular operations and projects they would finance.
Cumulatively, the records showed that the Federal Government received N4.33 trillion during the six-month period, while state governments received N4.36 trillion and local governments got N3.06 trillion.
Oil-producing states also received N763.73 billion through the 13 per cent derivation fund.
A further N1.85 trillion was transferred to the non-oil excess revenue account.
The figures highlight the various deductions, refunds and transfers applied to revenues flowing through the Federation Account before and alongside distributions to the three tiers of government.
Despite the significant increase in federation revenue in recent years, concerns remain over the extent to which higher government earnings are translating into improved infrastructure, public services and living conditions for Nigerians.
