Tinubu’s NNPC order cuts deductions to N8.4tn – W’Bank
A World Bank report says President Tinubu’s order stopping certain NNPC retentions cut Federation Account deductions from N10.1tn to N8.4tn in H1 2026. Read More: https://punchng.com/tinubus-nnpc-order-cuts-deductions-to-n8-4tn-wbank/
The World Bank has reported a significant reduction in deductions from Nigeria's Federation Account, following President Bola Tinubu's Executive Order 9 of 2026. The order eliminated the management-fee and Frontier Exploration Fund deductions from profit oil and gas, and redirected gas-flaring penalties to the Federation Account.
As a result, total deductions fell from N10.1tn in the first half of 2025 to N8.4tn in the same period of 2026, representing a 16.8% decrease and a 1.2 percentage point drop as a share of the nation's GDP. This reduction has led to an increase in distributed Federation Account revenues from N7.6tn in H1 2025 to N10.5tn in H1 2026, a 38.2% rise.
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