The Presidency has dismissed Oyo State Governor Seyi Makinde’s allegation that the Federal Government withheld ₦250 billion in Nigeria LNG (NLNG) dividends meant for each state, insisting that the figures cited by the governor are inaccurate.

The dispute emerged after Makinde spoke at the 2027 Budget Stakeholders’ Consultative Engagement in Ibadan, where he alleged that the Federal Government had failed to release the funds to states and claimed that the money would not be paid until after the 2027 general elections.

The governor said Oyo State had already identified projects that could benefit from the expected allocation and questioned why political considerations should take priority over the needs of Nigerians.

Presidency Explains Its Position

In a statement issued on Sunday, October 18, President Bola Tinubu’s Special Adviser on Information and Strategy, Bayo Onanuga, described Makinde’s allegation as false and urged Nigerians to disregard it.

According to the Presidency, distributing ₦250 billion to each of Nigeria’s 36 states would require a total of ₦9 trillion for the states alone, excluding the Federal Government, the Federal Capital Territory and local government councils.

Onanuga explained that states receive 26.72 per cent of distributable Federation Account revenue under the revenue-sharing formula cited by the Presidency.

He argued that, for the states’ share to reach ₦9 trillion, total NLNG dividends paid into the Federation Account would have to exceed ₦33.68 trillion, equivalent to approximately $25 billion, in a single payout.

The presidential spokesman further stated that NLNG had never paid $25 billion in dividends to the Federation Account in one payment.

Presidency Cites Historical Dividend Payments

The Presidency also 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.

Onanuga argued that these figures contradicted the allegation that a single dividend payment of the magnitude claimed by Makinde had been withheld.

He also criticised the governor’s public statements, urging him to provide verifiable information when discussing public revenue and government finances.

Makinde Raises Concerns Over State Funding

Makinde had maintained that the expected funds would help states finance development projects and expand their economies.

His remarks highlighted concerns over the availability and timing of revenue for state governments as they prepare their 2027 budgets.

However, the Presidency rejected his account of the alleged dividend allocation and insisted that the figures did not support his claim.

What Happens Next?

The disagreement has raised questions about NLNG dividend payments, revenue distribution and the information available to state governments regarding expected federal allocations.

While the Presidency has publicly rejected Makinde’s allegation, the competing claims underline the importance of clear financial records and transparent explanations of how public revenue is accounted for and distributed.

Utelnova will continue to follow developments in the dispute as further information becomes available