The Federal Government set aside about N500 billion from the Federation Account Allocation Committee (FAAC) revenue for May 2026 to support emergency security operations across Nigeria. The deduction was reportedly made before the monthly sharing of revenue among the federal, state and local governments as authorities continue efforts to tackle insecurity in different parts of the country.
Sources familiar with the FAAC proceedings disclosed that the fund was created to provide additional resources for urgent security interventions. According to officials, the deduction formed part of adjustments made before revenue was distributed to the three tiers of government. They also noted that state commissioners of finance, who are members of FAAC, were aware of the decision.
Documents from the May 2026 FAAC meeting showed that N250 billion was allocated to a Military Intervention Fund, while another N252 billion was earmarked for an Infrastructure Development Fund for states. In addition, N450 billion was transferred to the Non-Oil Excess Revenue Account. Together, the three deductions amounted to N952 billion.
Despite the deductions, FAAC shared N2.3 trillion among the Federal Government, states and the 774 local government councils for May 2026. The amount represented an increase compared to the N2.26 trillion distributed from April revenue. Records indicated that the total gross revenue available for the month stood at N3.395 trillion before deductions for collection costs, transfers and refunds.
From the distributable revenue, the Federal Government received more than N818 billion, while states got over N759 billion. Local government councils shared more than N534 billion, while oil-producing states received over N188 billion as derivation revenue.
The move comes at a time when Nigeria continues to battle several security challenges, including insurgency in the North-East, banditry and kidnappings in the North-West, communal clashes in the North-Central, separatist tensions in the South-East and crude oil theft in the Niger Delta. Successive attacks on communities and security formations have increased calls for stronger action and improved funding for security agencies.
Economic experts who reacted to the development described the creation of the security fund as a reasonable step, provided the money is managed properly. They argued that security agencies require more resources for personnel welfare, equipment acquisition, intelligence gathering and recruitment.
Some economists noted that citizens would likely support the initiative because the money was sourced from federation revenue rather than through new taxes. However, they stressed the need for accountability and clear information on how the fund would be spent.
Meanwhile, the Department of State Services, DSS, has opposed proposals that would allow foreign organisations to contribute to a planned Security Trust Fund. During a public hearing at the House of Representatives, the agency warned that accepting foreign funds for security-related activities could create risks to national sovereignty and expose sensitive intelligence operations to outside influence.
The DSS argued that foreign funding arrangements could lead to reporting requirements capable of revealing confidential information about security operations, procurement activities and deployment strategies. The agency therefore recommended that any future trust fund should rely on contributions from local organisations and sources.
The service also proposed changes to the structure of the planned trust fund, including adjustments to its funding formula and governing board. According to the agency, a fixed funding arrangement would provide more stability for long-term planning and operational activities.
In another development linked to ongoing security reforms, Deputy Inspectors-General of Police assigned to the six geopolitical zones have resumed duties in their respective areas. The deployment followed a directive by the Inspector-General of Police aimed at improving intelligence gathering, operational supervision and rapid response to security threats across the country.
Police authorities said the relocation of the senior officers would bring leadership closer to affected communities and strengthen efforts to address insecurity nationwide.
The move forms part of broader plans by security agencies to improve coordination and respond more effectively to emerging threats in different regions of the country.