By Seun Ibiyemi
The Presidency has dismissed claims by Oyo State Governor Seyi Makinde that the Federal Government is withholding ₦250 billion in Nigeria LNG Limited (NLNG) dividends for each state until after the 2027 general elections, describing the allegation as false and economically implausible.
The clarification followed Makinde’s remarks at the 2027 Budget Stakeholders’ Consultative Engagement held at Olola Ogunlana Hall, International Conference Centre, University of Ibadan, on Friday, where he alleged that the funds had been earmarked for distribution but would not be released until after the elections.
The governor had expressed concern that the alleged delay would affect development plans in Oyo State, questioning whether the elections were more important than the welfare of Nigerians.
However, the Presidency, in a statement issued on Sunday by the Special Adviser to the President on Information and Strategy, Bayo Onanuga, argued that the figures cited by Makinde did not align with Nigeria’s revenue-sharing formula or the historical dividend payments made by NLNG.
Onanuga urged Nigerians to disregard the allegation, insisting that the claim misrepresented how the Federation Account is managed and how revenue is distributed among the three tiers of government.
According to the Presidency, distributing ₦250 billion to each of Nigeria’s 36 states would amount to ₦9 trillion in a single payout, excluding the Federal Government, the Federal Capital Territory and the country’s 774 local government councils.
It explained that under the Federation Account Allocation Committee (FAAC) revenue-sharing formula, states receive 26.72 per cent of distributable revenue from the Federation Account.
Onanuga argued that for the states’ allocation alone to reach ₦9 trillion, the total NLNG dividends paid into the Federation Account would have to exceed ₦33.68 trillion, equivalent to approximately $25 billion, in a single declaration.
“NLNG has never paid $25 billion in dividends to the Federation Account in a single payout,” the statement said.
The Presidency maintained that the amount allegedly being withheld, as claimed by the governor, was inconsistent with the company’s historical dividend payments to the Federation.
Providing historical context, the Presidency said NLNG had paid approximately $21.5 billion in dividends to the Federation over the past 25 years.
It added that less than $3 billion had been realised from the company’s dividends since President Bola Ahmed Tinubu assumed office.
Onanuga argued that the suggestion that a single dividend payout exceeded the company’s entire historical distribution to the Federation was inconsistent with available figures.
“Therefore, 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 statement said.
The Presidency did not provide a separate breakdown of the specific NLNG dividend payment or distribution allegedly referenced by Makinde in his remarks.
The statement also criticised the governor’s public comments, accusing him of making misleading claims since embarking on his presidential ambition.
Onanuga urged Makinde to exercise greater restraint in his public statements and present verifiable information rather than making allegations that could mislead citizens.
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The presidential spokesman also recalled the governor’s previous description of substantial financial allocations from the Federation Account to states, including Oyo, as “voodoo”.
He maintained that while Makinde was constitutionally entitled to pursue his presidential ambition, his campaign should not be built around what the Presidency described as falsehoods and disinformation.
Under the Nigerian Constitution, presidential candidates must meet the applicable eligibility requirements, while political ambitions and campaign activities remain subject to the country’s electoral laws.
The exchange highlights continuing political disagreements over the management of public revenue, allocations to state governments and the transparency of federal fiscal decisions ahead of the 2027 general elections.
NLNG dividends paid to the Federation form part of the country’s public revenue framework, while distributable funds are allocated among the relevant tiers of government in accordance with applicable arrangements.
The Presidency urged Nigerians to disregard Makinde’s allegation, saying it could create unnecessary public distrust and disaffection towards the Federal Government.
However, the statement did not identify a specific ₦250 billion-per-state dividend allocation approved for distribution, nor did it provide documentary details of any payment schedule that could independently establish the circumstances behind the governor’s claim.
The dispute is therefore likely to keep attention focused on the need for clear, verifiable information about NLNG dividend receipts, Federation Account distributions and the basis of claims concerning funds allegedly due to state governments.
