Presidency denies withholding ₦250bn NLNG dividends from states
The Presidency has refuted claims made by Oyo State Governor Seyi Makinde regarding the alleged withholding of ₦250 billion in Nigeria LNG Limited (NLNG) dividends. Governor Makinde asserted that the Federal Government is delaying these funds until after the 2027 general elections.
Bayo Onanuga, Special Adviser to the President on Information and Strategy, characterized the governor’s assertion as inaccurate. He stated that the amount cited was inconsistent with the historical dividend payments made by NLNG to the Federation Account.
In a statement released on Sunday, Onanuga explained that if ₦250 billion were to be distributed to each of Nigeria’s 36 states, the total would amount to ₦9 trillion. This figure does not account for the Federal Government, the Federal Capital Territory, or the 774 local government areas in the country.
Onanuga clarified that, based on the Federation Account Allocation Committee (FAAC) revenue-sharing formula, states receive 26.72 percent of distributable revenue from the Federation Account. He emphasized that for the states’ share to reach ₦9 trillion, total NLNG dividends paid into the Federation Account would need to exceed ₦33.68 trillion, approximately $25 billion, in a single allocation.
“NLNG has never paid $25 billion in dividends to the Federation Account in a single payout,” he stated.
According to Onanuga, the total NLNG dividends paid to the Federation over the past 25 years is approximately $21.5 billion, with less than $3 billion received since President Bola Tinubu took office. He argued that these figures contradict Makinde’s assertion regarding the withholding of funds.
Governor Makinde raised the issue during the 2027 Budget Stakeholders’ Consultative Engagement, held on Friday at the International Conference Centre, University of Ibadan. He claimed that each state was entitled to ₦250 billion from the NLNG dividends, but that the Federal Government had indicated these funds would not be released until after the 2027 elections.
Makinde stated, “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. Is the election more important than the people of Nigeria?”
In response, Onanuga accused the governor of propagating misleading statements and urged him to exercise caution in his public remarks as he pursues his presidential aspirations. He also criticized Makinde for previously referring to significant financial allocations from the Federation Account as “voodoo.”
Onanuga encouraged the public to disregard Makinde’s claims, arguing they could mislead citizens and create unnecessary tensions between the public and the Federal Government.
