Lagos State and its counterparts across the federation are set for a liquidity boost as the Federation Account Allocation Committee (FAAC) released the sharing formula for the N2.036 trillion generated in March 2026.
While the Federal Government takes home the lion’s share of N789.159 billion, the news brings much-needed clarity for state governors and local government chairmen grappling with rising infrastructure demands.
Where the Money Came From
The “national cake” for March was baked largely from statutory revenue, which performed better than the previous month. However, the VAT pool—a crucial indicator of consumer spending—saw a slight contraction:
| Revenue Source | March Amount | Comparison to February |
| Statutory Revenue | N1.699 Trillion | Up N137.9 Billion |
| VAT Revenue | N664.425 Billion | Down N4.025 Billion |
The Local Impact
For the 774 Local Government Councils, the N468.826 billion allocation represents a critical lifeline for grassroots development. In the Niger Delta and other mineral-rich zones, an extra N120.759 billion was funneled through the 13% derivation principle.
Market Trends & Tax Shifts
The communiqué revealed a shifting economic landscape. While businesses appear to be paying more in Companies Income Tax (CIT) and Excise Duties, the petroleum sector took a hit. Oil and Gas Royalties and Import Duties decreased “considerably,” suggesting a volatile month for the nation’s traditional revenue pillars.
For the everyday Nigerian, these figures represent the fuel for public services, though the slight dip in VAT suggests a cooling in the pace of national consumption.
