Executive Order 9 Drives N322 Billion, $116.9 Million Oil Revenue Remittance to Federation Account

The Federal Government’s new oil revenue enforcement framework is beginning to strengthen inflows into the Federation Account as fresh disclosures showed that more than N322 billion and $116.9 million were transferred by key petroleum agencies within two months of implementation.

Documents presented at recent Federation Account Allocation Committee meetings showed that the improved remittances followed the enforcement of Executive Order 9 signed by President Bola Tinubu earlier this year.

The directive requires the full transfer of crude oil and gas proceeds into the Federation Account in a move aimed at tightening revenue accountability and reducing deductions within the petroleum sector.

Data presented by Nigerian National Petroleum Company Limited indicated that the national oil company transferred a combined $116.9 million alongside substantial naira inflows linked to crude oil exports, gas sales and other petroleum-related earnings during February and March 2026 receipts shared through FAAC.

The figures also showed additional inflows from the Nigerian Upstream Petroleum Regulatory Commission through royalties, gas flare penalties, concession rentals and other upstream revenue collections.

The latest remittance structure reflects a significant shift in the government’s approach to oil revenue management as authorities intensify efforts to block leakages and improve transparency across the energy value chain.

Officials familiar with the framework said the directive was introduced to ensure that revenues belonging to the federation are no longer weakened by multiple deductions and retention arrangements previously associated with the sector.

The improved inflows are expected to support monthly allocations to federal, state and local governments at a time fiscal pressures continue to rise across the country.

The documents showed that crude oil exports remained the dominant contributor to dollar inflows, while domestic crude transactions, gas earnings and miscellaneous petroleum revenue supported naira collections during the review period.

Industry analysts said the policy could improve government liquidity if sustained, especially as Nigeria continues efforts to raise crude oil production and stabilize public finances.

The development also comes amid growing scrutiny of oil sector remittances by international financial institutions and development partners pushing for stricter fiscal discipline and clearer revenue reporting mechanisms.

The World Bank had recently urged the Federal Government to deepen implementation of the directive by eliminating remaining collection distortions and strengthening budget-based funding arrangements for Ministries, Departments and Agencies.

Analysts believe continued enforcement of the order could enhance transparency within Nigeria’s petroleum industry while improving confidence in the management of federation revenue.