Atiku Questions FAAC Windfall as Inflation and Naira Losses Cut Its Real Value

Atiku Abubakar has challenged claims that rising Federation Account Allocation Committee disbursements represent major economic progress. He argues that naira depreciation, inflation and debt have reduced the real value of the increased allocations. Agora Policy data shows FAAC disbursements rose from ₦4.43 trillion in the first half of 2021 to ₦18.72 trillion in the first half of 2026, a 322% increase in naira terms. However, the increase is estimated at about 33% in dollar terms when adjusted using the official exchange rate. Nigeria’s headline inflation eased slightly to 15.39% in August from 15.43% in July, while food inflation fell to 19.57%. The figures suggest Atiku’s argument deserves attention: higher allocations may not translate into stronger purchasing power for governments or citizens.

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