Former Vice President Atiku Abubakar has dismissed the Federal Government's portrayal of recent FAAC distributions as economic success, arguing that larger naira figures conceal a significant loss of real value once inflation, currency depreciation, and state debt are considered. In a statement issued by his Senior Special Assistant on Public Communication, Phrank Shaibu, Atiku said the figures do not reflect genuine prosperity.
FAAC Numbers vs Real Value
Atiku's statement compared FAAC distributions across two periods to make its case. In 2019, total FAAC distribution stood at roughly ₦7.85 trillion, which translated to about $25.6 billion at the exchange rate of that time. By 2025, the naira figure had climbed to approximately ₦21.9 trillion, but its dollar equivalent had fallen to around $14.6 billion — a drop of more than 40 per cent in underlying value despite nearly tripling in naira terms.
"That is not an economic miracle. That is money illusion. You cannot batter the currency, allow inflation to ravage purchasing power and then wave bigger naira figures before Nigerians as evidence that the country has become richer. Bigger numbers do not cancel smaller value," the statement said.
Minimum Wage Purchasing Power Eroded
The minimum wage was used as a further illustration. A monthly wage of ₦30,000 was worth about $83 in 2019. The current minimum wage of ₦70,000, set against an exchange rate of roughly ₦1,320 to the dollar, is worth only about $53 — less than what ₦30,000 purchased six years ago.
State Debts Contradict Revenue Claims
Atiku's statement also raised questions about the fiscal condition of state governments, citing Debt Management Office data showing that 12 states whose governors are approaching the end of their tenures collectively owe about ₦5.3 trillion. That figure includes ₦2.16 trillion in domestic debt and approximately $2.33 billion in foreign obligations.
"If the states are swimming in unprecedented revenues, why are they still drowning in debt?" the statement asked, adding that unpaid pensions, gratuities and contractor fees further undermine government claims of a revenue boom.
Atiku called on the administration to measure economic performance not by the size of FAAC announcements but by what the allocations can actually deliver for ordinary Nigerians in terms of food prices, transport costs, healthcare, housing and jobs.
The statement closed with a political contrast, with Atiku framing the 2027 presidential contest around cost of living: "Tinubu made life expensive; Atiku will make life affordable again."
Note: Atiku Abubakar was ratified as the presidential candidate of the New Democratic Congress (NDC) on May 29, 2026, after resigning from the African Democratic Congress on May 2, 2026. The statement was signed under his title as Vice President of Nigeria, 1999–2007.
