Revenue allocation and the stability of the Nigerian Federation 1960-1980

Since 1960 a succession of different formulae have been used to allocate revenue under Nigeria's constitutions. This article reviews the formulae used and suggests ways in which they have contributed to the stability of the federation. The author then argues that in the 1980's the revenue allocation system should take more account of the need to reduce economic and social disparities in the different geographical areas of the country and so safeguard in the longer term the political stability of this federation.