‘It Defies Logic’ — Presidency Reacts as Makinde Claims FG Withholding N9trn NLNG Dividends Meant for States

The presidency has denied a claim by Seyi Makinde, governor of Oyo state, that the federal government is withholding N250 billion in Nigeria LNG (NLNG) dividends for each state in the federation.

Speaking at the 2027 Budget Stakeholders’ Consultative Engagement in Ibadan on Friday, Makinde alleged that each state “was supposed to get N250 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. Is the election more important than the people of Nigeria?” the governor said.

In a statement on Sunday, Bayo Onanuga, special adviser to the president on information and strategy, described Makinde’s claim that the federal government is withholding the NLNG dividend windfall as false and urged the public to disregard it.

“Even as a one-off distribution, N250 billion to each of the 36 states amounts to N9.0 trillion, excluding the Federal Government, the FCT, and the 774 local councils,” the statement reads.

“Under the Federation Account Allocation Committee (FAAC) formula, states receive 26.72% of the distributable Federation Account revenue.

“For the states’ share alone to reach ₦9 trillion, total NLNG dividends paid into the Federation Account would have to exceed ₦33.68 trillion (about $25 billion) in a single declaration.”

Onanuga further said NLNG had never paid $25 billion in dividends into the federation account in a single payout.

He said NLNG had 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”.

“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,” Onanuga said.

“We expect Governor Makinde to be more measured in his public conduct and utterances. Since he embarked on his presidential bid, he has chosen to play politics by making misleading claims rather than presenting verifiable facts.

“Indeed, he has turned false, unguarded statements and claims into an art form.”

Onanuga urged the public to disregard what he described as unfounded claims, saying they only serve to mislead citizens and stoke needless disaffection against the federal authorities.