Tinubu Mandates Direct Remittance of Oil Revenues

On February 13, 2026, President Bola Tinubu signed an executive order directing the direct remittance of oil and gas revenues to the Federation Account, thereby cutting deductions by the Nigerian National Petroleum Corporation (NNPC). This reform aims to boost transparency, curb revenue leakages, and strengthen Nigeria's fiscal position.

The order seeks to eliminate duplicative deductions and redirect resources toward national priorities. It limits NNPC's retention of oil revenues to 30% for management fees and profit-sharing, while also suspending payments for gas flare penalties, which will now be paid directly to the Federation Account.

The reform is part of a broader initiative to review the Petroleum Industry Act and address fiscal structural gaps. Tinubu emphasized the urgency of these reforms to improve public welfare and stabilize the economy, with a commitment to consult stakeholders in the petroleum sector.