The Presidency says the Federal Government is not withholding ₦250 billion in NLNG dividends for each state of the Federation against the claims by the Oyo State Governor, Seyi Makinde.

At the 2027 Budget Stakeholders’ Consultative Governor Makinde had claimed in Ibadan that the funds would not be released until after the 2027 elections with further allegations that the Federal Government had spent the money.

The Presidency in a statement by Bayo Onanuga maintain that
Makinde’s latest claim that the Federal Government is withholding the NLNG dividend windfall is false and should be disregarded.
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The statement also explains the facts the public should know about how the Federation Account is managed and how money is shared among the three tiers of government.

It reads further……even as a one-off distribution, ₦250 billion to each of the 36 states amounts to ₦9.0 trillion, excluding the Federal Government, the FCT, and the 774 local councils.

Under the Federation Account Allocation Committee (FAAC) formula, states receive 26.72% of the distributable Federation Account revenue. For the states’ share alone to reach ₦9 trillion, total NLNG dividends paid into the Federation Account would have to exceed ₦33.68 trillion (about $25 billion) in a single declaration.

NLNG has never paid $25 billion in dividends to the Federation Account in a single payout.

NLNG has paid approximately $21.5 billion in dividends to the Federation over the last 25 years, with less than $3 billion realised since President Bola Ahmed Tinubu assumed office.

Therefore, any claim that a single payout exceeds the company’s entire lifetime distribution to the Federation—and is being withheld—defies basic logic and economic reality.

We expect Governor Makinde to be more measured in his public conduct and utterances. Since he embarked on his presidential bid, he has chosen to play politics by making misleading claims rather than presenting verifiable facts. Indeed, he has turned false, unguarded statements and claims into an art form.

He once described the huge financial flow from the federation account to states, including Oyo, as ‘voodoo’.

Under Nigerian law, Governor Makinde is free to pursue his presidential ambition. He should desist from making falsehoods and disinformation the hallmarks of his campaign.

We urge the public to disregard these unfounded claims, which serve only to mislead citizens and stoke needless disaffection against the Federal authorities.