The Presidency has dismissed claims that the Federal Government is withholding ₦250 billion in Nigeria LNG Limited (NLNG) dividends meant for each of Nigeria’s 36 states, describing the allegation as false and economically unrealistic.
Presidential spokesman Bayo Onanuga made the clarification in a statement on Sunday, following comments by Oyo State Governor Seyi Makinde, who alleged that the funds would not be released until after the 2027 general elections.
Makinde made the claim during the 2027 Budget Stakeholders’ Consultative Engagement held on Friday at Olola Ogunlana Hall, International Conference Centre, University of Ibadan.
The governor said the proposed funds would have supported projects designed to expand Oyo State’s economy but alleged that the money would be withheld until after the elections.
“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. Is the election more important than the people of Nigeria?” Makinde said.
He also alleged that the Federal Government had already spent the money.
Presidency Explains NLNG Dividend Figures
Reacting to the allegation, Onanuga said Makinde’s claim that the Federal Government was withholding an NLNG dividend windfall was false and should be disregarded.
The presidential spokesman explained that the amount claimed by the governor did not align with the established revenue-sharing formula or NLNG’s dividend payment history.
According to Onanuga, distributing ₦250 billion to each of Nigeria’s 36 states would require a total of ₦9 trillion, excluding allocations to the Federal Government, the Federal Capital Territory and the country’s 774 local government councils.
He explained that states receive 26.72 per cent of distributable revenue from the Federation Account Allocation Committee (FAAC).
For the states’ collective share to reach ₦9 trillion under that formula, Onanuga said 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,” he stated.
Presidency Cites NLNG’s 25-Year Dividend History
Onanuga further argued that the allegation was inconsistent with the company’s historical dividend payments.
He said NLNG had paid approximately $21.5 billion in dividends to the Federation over the past 25 years, with less than $3 billion realised since President Bola Tinubu assumed office.
The presidential spokesman maintained that the alleged one-off dividend payment would exceed the company’s entire reported lifetime distribution to the Federation.
“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,” he said.
Presidency Accuses Makinde of Political Misinformation
The Presidency also criticised Makinde’s public statements, linking the allegation to his presidential ambition ahead of the 2027 elections.
Onanuga said the governor was entitled to pursue his political ambitions but urged him to avoid making claims that the Federal Government considered misleading.
He also referred to Makinde’s previous description of substantial revenue allocations from the Federation Account to states, including Oyo, as “voodoo”.
“We expect Governor Makinde to be more measured in his public conduct and utterances,” Onanuga said, accusing the governor of making misleading claims instead of presenting verifiable facts.
The presidential spokesman urged Nigerians to disregard the allegation, arguing that it could mislead citizens and create unnecessary distrust between the public and the Federal Government.
NLNG Dividend Dispute Draws Attention Ahead of 2027 Elections
The exchange highlights the growing political debate over federal revenue, allocations to states and the management of public funds ahead of the 2027 general elections.
While Makinde argued that the proposed funds could support development projects in Oyo State, the Presidency maintained that the claimed ₦250 billion per state dividend payout was inconsistent with the figures and historical payments it cited.
The dispute centres on the alleged withholding of NLNG dividends, with the Presidency insisting that the claim is unfounded.
The figures and allegations cited by both sides remain central to the controversy over the proposed funds and their potential impact on state-level development projects.