HomeBusiness and TechKwara Records N92bn IGR, Reduces FAAC Dependence

Kwara Records N92bn IGR, Reduces FAAC Dependence

Kwara State’s Internally Generated Revenue (IGR) rose from N30.6 billion in 2019 to N92.2 billion in 2025, during the tenure of Governor AbdulRahman AbdulRazaq, as the state recorded a decline in its dependence on federal allocations.

A recent ranking by TheCableIndex showed that 25 states depended on FAAC allocations for more than 80 per cent of their total revenue in the first quarter of 2026.

Kwara was not among the states listed.

Figures from the Kwara State Internal Revenue Service (KW-IRS) showed that the state’s IGR increased from N30.6 billion in 2019 to N56.4 billion in 2023.

The revenue further rose to N69.2 billion in 2024 before reaching N92.2 billion in 2025.

The increase has been linked to changes in tax administration, digitalisation of revenue collection, expansion of the taxpayer base, improved compliance and efforts to reduce revenue leakages.

The state’s fiscal performance has also featured in assessments by independent organisations.

BudgIT’s 2025 State of States Report ranked Kwara third among Nigerian states in subnational fiscal performance, compared with 10th position in 2021.

The report also placed Kwara fifth among states with the lowest dependence on federally distributed revenue.

Meanwhile, the state generated about N39.1 billion in IGR during the first half of 2026, with revenue recorded in the second quarter exceeding its pro-rata target.

The state is also developing a new Revenue House in Ilorin to centralise the operations of the KW-IRS and provide facilities for revenue administration and taxpayer services.

The rise in internally generated revenue has occurred alongside increased government spending on infrastructure and other sectors.

However, the available figures indicate that despite the growth in IGR, Kwara, like other states, continues to receive revenue from the Federation Account.

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