Nigeria’s Federal Government distributes N15.26 trillion to states and local governments in 2024, marking a historic increase in revenue allocations.
This figure, released by the Federation Accounts Allocation Committee (FAAC), represents a 43% rise compared to the previous year.
The increase is attributed to policy changes, including the removal of fuel subsidies and adjustments to the exchange rate, which boosted oil revenue remittances.
The Federal Government of Nigeria budgeted N4.95 trillion for the federal level and state governments obtained N5.81 trillion through budget allocations.
Local governments were granted N3.77 trillion.
Lagos State obtained the largest budgetary allocation of N531.1 billion from the total while second place belonged to Delta State with N450.4 billion and Rivers State secured the third position with N349.9 billion.
Among the three states Nasarawa along with Ebonyi and Ekiti received the lowest allocation which amounted to N108.3 billion.
Federal Government budget allocations to states demonstrated the highest level of growth in Nigeria during 2024 because they expanded by 62% from 2023.
The total government funding through allocations grew during the period delivering a 47% increase to local governments and 24% growth to federal allocations from N3.99 trillion to N4.95 trillion between 2023 and 2024.
Lagos, Rivers and Bayelsa and Akwa Ibom and Delta and Kano collectively received 33% of total budgeted allocations from the government but Yobe together with Gombe and Kwara and Ekiti and Ebonyi and Nasarawa received only 11.5%.
The Federal Government of Nigeria pursues multiple economic reform programs to raise revenue generation while strengthening its financial stability.
National revenue distribution has increased through latest FAAC data which demonstrates support for economic development at all governmental levels.
