A significant amount of the debts owing by the Nigerian National Petroleum Company Limited (NNPC Ltd) to the Federation Account have been waived off by President Bola Tinubu.
The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) recently released a report that revealed this.
According to the report, President Tinubu eliminated NNPCL debts of around $1.42 billion and ₦5.57 trillion, respectively.
Documents marked “Report of October 2025 Revenue Collection Presented at the Federation Account Allocation Committee Meeting Held on 18th November 2025” were made public by the NUPRC.
Debts owed by the NNPCL to the federation account up until December 31, 2024, have been written off with the President’s consent; current liabilities from 2025 activities are still being monitored.
The commission attested to the implementation of all accounting entries in the Federation Account that reflect the debt cancellation.
The Stakeholder Alignment Committee on the Reconciliation of Indebtedness between NNPC Ltd and the Federation, which examined royalty and lifting-related liabilities through the end of 2024, made recommendations that were followed by the Presidential approval, according to the NUPRC.
The commission stated that the debts previously recorded at the October 2025 FAAC meeting were “$1,480,610,652.58 and N6,332,884,316,237.13 for PSC, DSDP, RA & MCA Liftings and JV & PSC Royalty Receivables, respectively” in the part titled “Recovery from NNPC Ltd Outstanding Obligations.”
The statement stated, “However, the commission recently received a Presidential Approval to nil off the outstanding obligations of NNPC Ltd as at December 31, 2024, as submitted by the Stakeholder Alignment Committee on the Reconciliation of Indebtedness between NNPC Ltd and the Federation.”
The NUPRC further stated that the affected outstanding debts that have been zeroed out include $1,421,727,723.00 N5,573,895,769,388.45 out of $1,480,610,652.58 and N6,332,884,316,237.13. The relevant accounting entries have been approved by the commission.
