The Federation Account Allocation Committee (FAAC) announced that it disbursed N907.05bn among the three tiers of government in June 2023.

This amount marked a marginal increase of N120.89bn compared to the previous month and is the highest allocation of the year.

The total distributable revenue included statutory revenue, Value Added Tax (VAT), electronic money transfer levies, and exchange rate difference revenue.

The Federal Government received N345.56bn, the states received N295.95bn, and the local government councils got N218.06bn, while the oil-producing states received N47.48bn as derivation revenue.

President Bola Tinubu approved the establishment of an Infrastructure Support Fund for the 36 states to cushion the impact of petrol subsidy removal on the people.

This fund aims to invest in critical sectors such as transportation, agriculture, health, education, power, and water resources to foster economic prosperity and improve living standards for Nigerians.

A portion of the monthly distributable proceeds will also be saved to minimize inflation and exchange rate fluctuations resulting from the subsidy removal and exchange rate unification.