Nigeria is witnessing its strongest fiscal performance in decades, with non-oil revenues driving historic growth and reshaping the country’s economic foundations.
According to figures released by the Presidency, total government collections from January to August 2025 reached ₦20.59 trillion — a 40.5% jump from ₦14.6 trillion recorded in the same period last year. Of this, ₦15.69 trillion came from non-oil sources, representing three out of every four naira collected.
President Bola Ahmed Tinubu, speaking on Tuesday during a meeting with a delegation of the Buhari Organisation led by Senator Tanko Al-Makura, described the performance as proof that reforms in tax administration, compliance enforcement, and digitisation are beginning to bear fruit.
He clarified that some media outlets had taken his comments out of context but stressed that the growth trajectory in non-oil revenue mobilisation is both historic and deliberate.
For the first time in years, Tinubu noted, the Federal Government has not borrowed from local banks since January — a sign of stronger fiscal resilience.
Boost for States and Local Governments
The President also pointed out that increased collections have translated into record disbursements through the Federation Accounts Allocation Committee (FAAC).
In July 2025, allocations to states and local governments crossed the ₦2 trillion mark for the first time in Nigeria’s history, giving subnational governments more resources to address food security, infrastructure, and social services.
The report highlighted the Nigeria Customs Service as a standout performer. In the first half of 2025, it generated ₦3.68 trillion — ₦390 billion above target and already achieving 56% of its annual revenue goal.
Officials credited this to systemic reforms such as automation, digital filing systems, and expanded compliance, not temporary windfalls.
Despite the record revenues, President Tinubu acknowledged that fiscal gains have not yet matched his government’s ambitions for education, healthcare, and infrastructure investment. He assured Nigerians that efforts are ongoing to close these gaps.
Bayo Onanuga, Special Adviser to the President on Information & Strategy, described the development as a turning point:
“For the first time in decades, oil is no longer the dominant driver of government revenue. The combination of reforms, compliance, and digitisation powers a more resilient economy. The task ahead is to ensure these gains translate into better schools, hospitals, roads, jobs, and ultimately, real relief for Nigerians.”
Key Takeaways
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₦20.59 trillion collected in eight months — Nigeria’s strongest fiscal performance ever.
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₦15.69 trillion from non-oil revenues, showing a fundamental economic shift.
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FAAC disbursements hit ₦2 trillion for the first time in July 2025.
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Customs generated ₦3.68 trillion in H1, outperforming targets.
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Government confirms collections are ahead of projections, with validation to come from the Budget Office by year-end.
For now, revenues are rising, the base is broadening, and reforms are working. The next challenge, according to the Presidency, is simple: turning fiscal numbers into visible improvements in the daily lives of Nigerians.
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