The Revenue Mobilisation Allocation and Fiscal Commission (RMAFC) has disclosed a significant surge in national revenue, with total gross inflows into the Federation Account reaching N66.42 trillion between January 2023 and October 2025.
Breakdown of the N66.42 Trillion Revenue Inflow
Dr. Mohammed Bello Shehu, the Chairman of RMAFC, presented the detailed figures during his opening remarks at a two-day national stakeholders' discourse on enhancing fiscal efficiency. The event, organized by the Commission, focused on the Nigeria Tax Act.
The breakdown shows a steady upward trajectory: N11.93 trillion accrued in the full year of 2023. This figure nearly doubled in 2024, rising to N21.43 trillion. For the first ten months of 2025 (January to October), inflows stood at N23.06 trillion.
Dr. Shehu attributed this consistent growth to the economic reform programmes of the current administration. He listed key drivers including fiscal reforms, improved tracking and coordination among revenue agencies, stronger audit systems, and digital revenue tracking.
Economic Indicators Show Positive Trajectory
The RMAFC boss linked the revenue growth to broader macroeconomic improvements, though he acknowledged that many Nigerians are yet to feel the direct benefits. He provided recent data to support his claim:
- Inflation Rate: Has dropped consecutively for four months—from 21.88% in July to 16.05% in October 2025.
- Exchange Rate (Naira/USD): Remained stable in the same period, strengthening from N1,534 in July to N1,428 in October.
- GDP Growth: Continues to expand, significantly driven by the services sector, which now constitutes over half of the total GDP.
Dr. Shehu highlighted a crucial shift in the economy's structure: "Oil still represents over 90 per cent of export earnings and a large part of government revenue, yet it contributes less than 10 per cent to the overall GDP, showing that the economy is moving away from relying solely on oil production."
Stakeholders Convene on New Tax Act Implementation
The national discourse aimed to foster a deep understanding of the impending Nigeria Tax Act, set to take effect in January 2026. Dr. Shehu emphasized the Commission's role in safeguarding federation revenue through enhanced monitoring, forensic audits, and collaboration with sub-national governments on non-oil revenue.
In his keynote address, Taiwo Oyedele, Chairman of the Presidential Fiscal Policy and Tax Reforms Committee, addressed public concerns. He dismissed as a "false narrative" the notion that Nigerians will pay more taxes under the new law, stating it is designed to be in the public's interest.
Oyedele provided critical context on revenue sharing, revealing that about 85% of Nigeria's resources are assigned to states and local governments. He clarified the distribution of eight key revenue sources:
- Five sources—Personal Income Tax, Property Tax, Stamp Duty, VAT, and Land—belong 100% to states and local governments.
- The remaining three—Corporate Income Tax, Customs Duty, and Petroleum & Solid Minerals revenues—are shared by all three tiers of government.
He advocated for a focus on optimizing existing revenue streams over imposing new taxes, called for an end to multiple taxation, and stressed the need for budgetary reforms, accountability, and transparency. "Responsibilities and revenue should march," Oyedele stated, advocating for equitable revenue sharing.
The consensus from the event is that strengthened fiscal discipline has expanded the revenue pool for allocation to Federal, State, and Local Governments, marking a move towards a more resilient and diversified public finance system.
