Nigeria’s 36 states recorded N113.94bn in road tax revenue between 2023 and 2025, with collections showing a sharp drop in 2024 before recovering strongly the following year.
The figure, contained in the National Bureau of Statistics’ State Internally Generated Revenue report for 2025, reflects revenue collected from road taxes during the three-year period. An analysis of the figures shows that states collectively generated N40.14bn in 2023, N23.92bn in 2024 and N49.88bn in 2025.
The data indicate that road tax receipts declined by N16.22bn between 2023 and 2024, representing a 40.42 per cent fall. The downward movement was, however, reversed in 2025 when collections jumped by N25.96bn, equivalent to a 108.53 per cent increase from the previous year.
Related News
The figures also reveal a wide difference in the amount generated by individual states, with Lagos accounting for a substantial portion of the revenue recorded during the period.
Lagos generated N16.74bn in 2023 and another N16.87bn in 2025. Its 2024 figure was not reported in the data, meaning its full three-year contribution could not be established from the available figures.
Based on the two years with reported figures, Lagos contributed N33.61bn, representing about 29.5 per cent of the N113.94bn recorded nationally over the three-year period.
Related News
Outside Lagos, Delta State emerged as the largest collector during the period, recording N8.64bn. Its receipts increased consistently, rising from N2.60bn in 2023 to N2.71bn in 2024 and N3.33bn in 2025.
Ondo followed with cumulative collections of N5.99bn. The state generated N1.59bn in 2023, N1.73bn in 2024 and N2.67bn in 2025.
Ogun recorded N5.49bn over the period, while Edo and Cross River generated N5.32bn and N5.28bn respectively.
The yearly figures also showed changes in the states occupying the higher end of the revenue table.
In 2023, Lagos led with N16.74bn, followed by Ebonyi with N2.85bn and Delta with N2.60bn. Ogun generated N1.64bn, while Zamfara and Ondo recorded N1.61bn and N1.59bn respectively.
The picture changed in 2024 because Lagos’ figure was unavailable. Delta therefore recorded the highest reported collection at N2.71bn, followed by Cross River with N1.77bn, Ondo with N1.73bn, Ogun with N1.72bn and Edo with N1.58bn.
When the 2025 figures were released, Lagos returned to the top of the table with N16.87bn, accounting for about 33.8 per cent of the N49.88bn collected nationally that year. Delta followed with N3.33bn, while Ondo recorded N2.67bn.
Some states recorded significant increases in 2025. Bauchi’s road tax revenue rose from N413.51m in 2024 to N1.89bn in 2025, while Nasarawa increased from N226.10m to N1.03bn.
Kogi also recorded growth, with collections climbing from N727.84m to N1.64bn. Ebonyi’s receipts increased from N249.35m to N533.43m, while Gombe rose from N221.97m to N411.33m.
Not every state recorded an increase. Kebbi’s collection dropped from N247.35m in 2024 to N65.49m in 2025. Katsina fell from N106.03m to N47.78m, while Sokoto declined from N165.04m to N84.09m. Bayelsa also recorded a continued decline, falling from N146.60m in 2023 to N70.92m in 2025.
At the lower end of the three-year cumulative figures, Katsina recorded N183.10m, followed by Yobe with N309.04m and Bayelsa with N319.70m. Adamawa generated N363.59m, while Kebbi recorded N364.69m.
The NBS describes road taxes as daily levies paid by commercial transport operators working within states. The bureau said the internally generated revenue figures were compiled from official records and submissions by state revenue authorities through the Joint Revenue Board. It also noted that the figures remain subject to reconciliation and possible updates by the relevant sub-national revenue authorities.
Road taxes form part of the broader revenue stream available to state governments. Other components of internally generated revenue include Pay-As-You-Earn, direct assessment, stamp duties, capital gains tax, withholding tax and other taxes.
Overall, the 36 states and the Federal Capital Territory generated N5.15tn in total internally generated revenue in 2025, up from N3.65tn in 2024. Tax revenue accounted for 73.64 per cent of the 2025 total, underscoring the importance of taxation to state-level revenue mobilisation.
The road tax figures therefore form one part of a much larger effort by state governments to expand internally generated revenue as they seek to finance public services and reduce dependence on other sources of funding.
