The Presidency has strongly refuted claims made by Oyo State Governor Seyi Makinde that the Federal Government is withholding ₦250 billion in Nigeria LNG (NLNG) dividends from each state of the federation.
In a press statement issued on Saturday by the Special Adviser to the President on Information and Strategy, Bayo Onanuga, the Presidency described the governor’s allegation as “false and should be disregarded.”
Governor Makinde made the claim on Friday during the 2027 Budget Stakeholders’ Consultative Engagement held at the International Conference Centre, University of Ibadan. He alleged that the funds, which were earmarked for state projects, would not be released until after the 2027 elections, further accusing the Federal Government of having already spent the money.
“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.
However, the Presidency has challenged the economic reality of the governor’s claim, describing it as mathematically impossible. According to the statement, a one-off distribution of ₦250 billion to each of the 36 states would amount to ₦9.0 trillion, excluding the Federal Government, the FCT, and the 774 local government councils.
Citing the Federation Account Allocation Committee (FAAC) formula, where states receive 26.72% of distributable revenue, the Presidency argued that for the states’ share to reach ₦9 trillion, the total NLNG dividends paid into the Federation Account would have to exceed ₦33.68 trillion (approximately $25 billion) in a single declaration.
The statement provided historical context regarding NLNG payouts, noting that the company 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.
“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,” the Presidency stated.
The Federal Government also took a swipe at the governor’s conduct, suggesting that his claims are a byproduct of his political ambitions. The statement accused Makinde of turning “false, unguarded statements and claims into an art form” since embarking on his presidential bid.
The Presidency recalled that the governor once described the huge financial flow from the federation account to states, including Oyo, as “voodoo.”
While acknowledging that Governor Makinde is free to pursue his presidential ambition under Nigerian law, the Presidency urged him to 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,” the statement concluded.