The Presidency has dismissed claims by Oyo State Governor Seyi Makinde alleging that the Federal Government is withholding ₦250 billion in Nigeria Liquefied Natural Gas (NLNG) dividends from each state until after the 2027 general elections.
In a statement issued, Special Adviser to the President on Information and Strategy, Bayo Onanuga, described the governor’s accusations as false, misleading, and economically illogical. Governor Makinde’s Allegations
The dispute follows remarks made by Governor Makinde on Friday at the 2027 Budget Stakeholders’ Consultative Engagement held at the University of Ibadan. Makinde claimed that the federal authorities had already spent the dividend funds and decided to delay payout to state governments.
“Each state was supposed to get ₦250 billion. We had already identified projects that would expand Oyo State’s economy. But they have now said the money will not be paid until after the election,” Makinde asserted. “Is the election more important than the people of Nigeria?”
Refuting the governor’s figures, Onanuga provided details regarding the Federation Account Allocation Committee (FAAC) distribution formula and historical dividend payouts:
- Scale of Claims: A distribution of ₦250 billion to each of the 36 states would total ₦9.0 trillion, excluding allocations for the Federal Government, the Federal Capital Territory, and the 774 local government councils.
- FAAC Revenue Formula: States receive 26.72% of distributable revenue under the FAAC allocation model. For the states’ share to equal ₦9.0 trillion, total NLNG dividends in a single declaration would need to exceed ₦33.68 trillion (approximately $25 billion).
- Historical Dividend Context: Over its 25-year history, NLNG has paid a total of approximately $21.5 billion in cumulative dividends to the Federation, with under $3 billion realized since President Bola Ahmed Tinubu assumed office.
The statement noted that claiming a single dividend distribution exceeds NLNG’s total lifetime payout to the nation “defies basic logic and economic reality”.
The Presidency urged Governor Makinde to refrain from spreading disinformation as part of his presidential ambition, calling on the public to disregard the claims.
