Presidency Knocks Makinde Over ₦250bn NLNG Dividend Claim, Says Figures Defy Economic Reality

The Presidency has dismissed Oyo State Governor Seyi Makinde’s claim that the Federal Government is withholding ₦250 billion in Nigeria LNG Limited (NLNG) dividends for each state until after the 2027 general elections, describing the allegation as false and misleading.

Makinde reportedly made the claim on Friday during the 2027 Budget Stakeholders’ Consultative Engagement held at Olola Ogunlana Hall, International Conference Centre, University of Ibadan, alleging that the funds had been earmarked for states but would not be released 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?” the governor said.

However, the Presidency, in a statement challenging the governor’s account, argued that the figures he cited do not align with the scale of NLNG’s historical dividend payments or the established framework for sharing revenue among the three tiers of government.

According to the Presidency, distributing ₦250 billion to each of Nigeria’s 36 states would amount to ₦9 trillion in total, excluding the Federal Government, the Federal Capital Territory and the 774 local government areas.

It explained that, under the Federation Account Allocation Committee (FAAC) revenue-sharing formula, states receive 26.72 per cent of distributable Federation Account revenue.

On that basis, the Presidency argued that for the states’ collective share to reach ₦9 trillion, the total distributable revenue from the alleged NLNG dividend payout would have to exceed ₦33.68 trillion, equivalent to approximately $25 billion, based on the figures presented in its statement.

The Presidency maintained that NLNG had never declared a single dividend payment of that magnitude to the Federation Account, describing the allegation that such funds were being withheld as inconsistent with the company’s historical dividend record.

It further stated that 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 Ahmed Tinubu assumed office.

The Presidency argued that the figures undermine the claim that a single dividend payout worth approximately $25 billion had been made available but was subsequently withheld from the states.

Beyond disputing the financial figures, the Presidency also criticised Makinde’s public statements, accusing the governor of making misleading claims since embarking on his presidential ambition.

It urged the Oyo governor to exercise greater restraint in his public comments and ensure that his political arguments are supported by verifiable facts.

The Presidency also recalled Makinde’s previous description of substantial financial allocations from the Federation Account to states, including Oyo, as “voodoo,” arguing that his latest allegation was another example of what it considers misleading commentary on public finance.

While acknowledging that Makinde is constitutionally entitled to pursue his presidential ambition, the Presidency urged him to avoid statements it said could misinform Nigerians and create unnecessary distrust between citizens and the Federal Government.

It also called on the public to disregard the governor’s allegation, insisting that the claim of a ₦250 billion NLNG dividend allocation for each state, allegedly withheld until after the 2027 elections, was unsupported by the financial figures it presented.

The controversy underscores the need for transparency over NLNG dividend receipts, Federation Account distributions and any proposed special allocations to states. Documentary evidence of the alleged dividend declaration, the distribution plan and the reported decision to defer payment would be necessary to independently establish the facts surrounding the dispute.