The Nigerian Senate has introduced a bill proposing a revision of the country’s revenue-sharing formula, aiming to increase the Federal Government’s share of national revenue.
The bill, titled Constitution of the Federal Republic of Nigeria, 1999 (Alteration) Bill, 2026, was sponsored by Senator Karimi Sunday (Kogi-West) and passed its first reading on Tuesday.
Under the current arrangement, the Federal Government receives 52.68 per cent of federally collected revenue, while states and local governments share 26.72 per cent and 20.60%, respectively.
The proposed amendment seeks to raise the federal allocation, arguing that rising security costs and infrastructure obligations, such as the maintenance of dilapidated Trunk A roads, are stretching existing funds thin.
Senator Karimi defended the proposal, asserting that some states have not efficiently utilised the funds they currently receive, while the federal government faces increasing financial pressure.
The bill is set for a second reading as lawmakers continue to debate the balance of fiscal responsibilities among the three tiers of government.
