Between March 2024 and May 2025, the Federal Government disbursed a total of ₦1.6 trillion to state governments and the Federal Capital Territory (FCT) to support infrastructure and security projects.
This funding initiative, documented by the Office of the Accountant-General of the Federation (OAGF), was designed to ease fiscal pressures at the subnational level and enhance project implementation, particularly in areas grappling with insecurity and infrastructural deficits.
The disbursements were part of a targeted intervention programme financed from non-oil revenue savings. The OAGF records, presented at the May 2025 meeting of the Federation Accounts Allocation Committee (FAAC), showed that these payments aimed to accelerate development efforts without relying on the monthly federal allocation cycle.
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According to the ledger titled “Savings on Intervention to States’ Infrastructure and Security”, a total of ₦1.7 trillion was accrued from non-oil sources during the 15-month period. Out of this, ₦1.6 trillion was transferred to states and the FCT, leaving a balance of ₦100 billion as of May 16, 2025.
The intervention payments, each recorded under “Payment for Intervention to States and FCT,” were matched with corresponding inflows noted as “Transfer from Non-Oil Savings.” In total, 21 transactions were executed during the period, with the first transfer of ₦200 billion made in March 2024. That initial payment covered the months of January and February. Subsequent disbursements typically ranged from ₦100 billion and above, with the highest, ₦222 billion, recorded in May 2024.
While the documents did not provide a state-by-state breakdown of the funds received, the transfers underscore a strategic effort by the Federal Government to strengthen state-level infrastructure and security using internally generated savings.
