Minister Oyedele Confirms FG Allocation Rises Above N2trn Under Tinubu Reforms

Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, says Federal Government economic reforms have pushed monthly federal allocation to more than N2 trillion from an average of N300 billion under previous administrations.

Oyedele disclosed this on Monday in Owerri while declaring open the 2026 National Council on Finance and Economic Development retreat.

He said President Bola Tinubu’s decisions, including fuel subsidy removal and foreign exchange unification, helped drive revenue growth, leading to a record N2.8 trillion disbursement in June 2026.

Oyedele said the increased revenue has helped states meet their salary obligations, but warned governors that higher allocations alone cannot guarantee prosperity without investment in infrastructure, human capital, local productivity and public services.

The minister urged state and local governments to increase internally generated revenue and reduce their dependence on monthly federal allocations.

He also called for a review of the revenue allocation formula to promote fairness across the 774 local government areas while strengthening fiscal responsibility and debt sustainability.

The minister said the Federal Government has also expanded support programmes, including cash transfers to 15 million vulnerable households and the NG-CARES programme, to cushion the impact of economic reforms.