Presidency Dismisses Makinde’s Claim of ₦250bn NLNG Dividends for Each State

The Presidency has dismissed Oyo State Governor Seyi Makinde’s claim that the Federal Government is withholding ₦250 billion in Nigeria LNG Limited (NLNG) dividends for each state, describing the allegation as false and inconsistent with available financial records.

The Presidency said distributing ₦250 billion to each of Nigeria’s 36 states would require a total of ₦9 trillion, excluding the Federal Government, the Federal Capital Territory (FCT) and the 774 local government areas.

In a statement issued on Sunday, Bayo Onanuga, Special Adviser to President Bola Tinubu on Information and Strategy, said the figures cited by Makinde did not align with the established revenue-sharing formula or NLNG’s historical dividend payments.

Makinde had reportedly made the claim on Friday at the 2027 Budget Stakeholders’ Consultative Engagement held at Olola Ogunlana Hall, International Conference Centre, University of Ibadan.

The governor alleged that the Federal Government had postponed the release of the funds until after the 2027 general elections, adding that Oyo State had already identified projects intended to expand its economy.

“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 was quoted as saying.

Responding, the Presidency explained that under the Federation Account Allocation Committee (FAAC) revenue-sharing formula, states receive 26.72 per cent of distributable Federation Account revenue.

It said the states’ combined share of ₦9 trillion would require total NLNG dividend payments exceeding ₦33.68 trillion, equivalent to about $25 billion, in a single declaration.

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

The Presidency further stated that NLNG had paid approximately $21.5 billion in dividends to the Federation over the past 25 years, with less than $3 billion realised since Tinubu assumed office.

It argued that the claim of a single dividend payout exceeding the company’s entire historical contribution to the Federation was inconsistent with the figures presented.

The Presidency urged Makinde to exercise restraint in his public statements, accusing him of making misleading claims since embarking on his presidential ambition.

It also recalled that the governor had previously described substantial financial allocations from the Federation Account to states, including Oyo, as “voodoo.”

While acknowledging Makinde’s constitutional right to pursue his presidential ambition, the Presidency urged him to base his campaign on verifiable facts rather than what it described as falsehoods and disinformation.

It called on Nigerians to disregard the governor’s allegation, saying it could mislead citizens and create unnecessary tension between the public and the Federal Government.