…Says states got N700-aac billion monthly allocation
By Jude Opara
The Chairman of the Progressives Governors Forum (PGF) and Director General (DG) of the Renewed Hope Ambassadors (RHA), Sen. Hope Uzodimma has declared that following the efficiency of the policies of the federal government, the country’s economy has now grown to the tune of N441.5 trillion Naira.
He also revealed that since the removal of the fuel subsidy, state governments now receive between the sum of N700 and N800b monthly allowance from the federation account.
Uzodimma who is also the governor of Imo state stated this on Monday while delivering his keynote address at an interactive session between the RHA and members of the Diplomatic Corps in Abuja.
The governor who praised the administration of President Bola Tinubu as the most focused and courageous since the creation of the country said the records are very clear and point to the economic benefits the country is currently enjoying.
He noted that before the advent of the Tinubu administration, headline inflation was above 27% before it was brought down to 15.06% in February this year.
“Nigeria has held up well under these conditions. Headline inflation, which peaked above 27 per cent at the start of this administration, declined steadily through 11 consecutive months of disinflation, reaching 15.06 per cent in February of this year”.
“The full year 2025 closed at 3.87 per cent, improving on 3.38 per cent the year before. The Nigerian economy is now valued at 441.5 trillion naira, up from 372.8 trillion in 2024. The IMF projects 4.1 per cent growth for 2026 even after its Iran-related revision. The Q4 2025 growth was driven by all three major sectors: agriculture at 4.0 per cent, industry, and services”.
The PGF Chairman further stated that from Day One, the Tinubu administration made two fundamental decisions of removing the controversial fuel subsidy and the floating of the Naira.
According to him, the two policies have in no small manner helped the economy to rebrand, with the resultant economic growth.
“The trajectory of the Federal Republic of Nigeria under the administration of President Bola Ahmed Tinubu is one of foundational repair, followed by visible signs of economic recovery. Most of what I will mention in this address flows from two reform policies announced in the first hours of this administration, in May of 2023.
“These are the removal of the petroleum subsidy and allowing the value of the Naira to be determined by market forces, or simply floating the Naira. Those two decisions can be described as the hinge on which everything has since turned. If you understand them, you would understand the policy direction of this government”.
The governor further added that given the huge revenue now accruing to the federation account, state governments are now receiving more revenue which they are now using to run their states more effectively.
“In the 2023 financial year, the Federation Account Allocation Committee distributed approximately 10.14 trillion naira to all tiers of government over the year. In the most recent FAAC meetings, the total monthly disbursement has hovered between 1.8 and 2.6 trillion naira. In January of this year alone, over 2.59 trillion naira was allocated from December 2025 revenue.
“State governments now receive net allocations in the order of 700 to 800 billion naira monthly, with February’s disbursement to states reaching 784 billion naira, a 23 per cent increase over the allocation in the same month in the previous year. Thanks to this policy, the era of state governors travelling to the Federal Capital to ask for emergency bailouts to pay basic salaries is over”.
He equally mentioned the Lagos -Calabar Coastal Highway, the Sokoto–Badagry Superhighway and the Students’ Loan Scheme as some of the other notable projects of the Tinubu administration.
In his remarks, the Head of the European Union Delegation in Nigeria and the ECOWAS, Ambassador Gautier Mignot thanked the PGF Chairman for his efforts in organizing the session.
Mignot also assured the government and people of Nigeria of the support and cooperation of the international community.
