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Gross VAT disbursement to Nigerian states rose by 30.36% month-on-month to N551.77 billion in February 2026, marking a continued upswing in revenue flows to subnational governments from the N423.25 billion recorded in January 2026.

The figures are based on data compiled by the Nairametrics Research Team from the Office of the Accountant General, which also shows that net VAT disbursement increased by 31.41% to N541.89 billion during the period.

The increase reflects a broad-based rise in VAT distributions across states, with both top-performing and lower-ranked states recording gains, amid sustained tax collection momentum and steady economic activity heading into the first quarter of the year.

All states benefited from higher VAT disbursement in February, with leading economic hubs continuing to dominate.

The next group of states, Katsina, Jigawa, Delta, and Kaduna, also recorded gains, with disbursement ranging between N12.73 billion and N13.82 billion. Growth rates in this cluster were more modest, ranging from 6.14% to 16.08%, suggesting that the outsized January surge had already established a higher baseline for these states.

At the lower end, allocations remained smaller but continued to grow.

Other states such as Cross River, Abia, Gombe, Kogi, and Plateau recorded allocations ranging from N9.97 billion to N10.47 billion, with growth rates between 8.54% and 23.01%, indicating continued positive momentum across the lower tier.

A recent Nairametrics article revealed that VAT allocations to Nigerian states surged by 74% month-on-month to N423.25 billion in January 2026, rebounding sharply from N242.92 billion in December 2025, with net VAT allocation rising 77.72% to N412.37 billion over the same period.