Nigeria’s Federation Account recorded inflows of N23.06 trillion in the first ten months of 2025, reflecting a major improvement in revenue mobilisation and fiscal efficiency, according to the Revenue Mobilisation Allocation and Fiscal Commission (RMAFC).
The figure, which covers the period from January to October 2025, was disclosed by the Chairman of the RMAFC, Mohammed Shehu, during a two-day National Stakeholders’ Discourse on Enhancing Fiscal Efficiency and Revenue Growth held in Abuja.
Shehu attributed the sharp rise in inflows to a combination of fiscal reforms, stronger audit mechanisms, and improved coordination among revenue-generating agencies. He also highlighted the impact of the Nigeria Tax Act, 2025, describing it as a critical tool in modernising the country’s tax administration framework.
According to him, the new tax law has strengthened compliance, reduced revenue leakages, expanded the tax base, and enhanced transparency across the public finance system. These measures, he said, have collectively boosted non-oil revenue and reduced the country’s long-standing dependence on volatile oil earnings.
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“The increase in federation account inflows is a clear indication that fiscal discipline is improving and that reforms being implemented across revenue institutions are yielding positive results,” Shehu stated.
He added that sustained commitment to these reforms would help build a more resilient and predictable revenue structure capable of supporting long-term economic growth and development at all levels of government.
The disclosure came amid reports that the Federal, State, and Local Governments shared N1.928 trillion as Federation Account revenue for November 2025. This amount represents a decline compared to the N2.094 trillion shared in October 2025, underscoring ongoing fluctuations in monthly distributable revenue despite overall annual growth.
Fiscal analysts say the rising inflow trend signals progress in Nigeria’s revenue reforms but caution that consistent policy implementation and accountability will be crucial to sustaining gains and addressing structural challenges in public finance management.
