Abuja: President Bola Tinubu on Thursday declared that one of his administration’s most impactful achievements was its bold tax reform agenda, which had started yielding results. The President made this statement to mark the second anniversary of his administration.
According to News Agency of Nigeria, President Tinubu highlighted that by the end of 2024, the country’s tax-to-GDP ratio rose from 10 percent to over 13.5 percent, a significant increase within just one year. He attributed this to deliberate improvements in tax administration and policies designed to create a fairer, more efficient, and growth-oriented tax system.
“We are eliminating the burden of multiple taxation, making it easier for small businesses to grow and join the formal economy,” Tinubu stated. He emphasized that the tax reforms would protect low-income households and support workers by expanding their disposable income. Essential goods and services such as food, education, and healthcare will now attract zero percent VAT, while rent, public transportation, and renewable energy will be fully exempted from VAT to reduce household costs further.
The President also noted the end of wasteful and opaque tax waivers, introducing instead targeted and transparent incentives to support high-impact sectors such as manufacturing, technology, and agriculture. He added that these reforms are not merely about revenue but about stimulating inclusive economic growth. A particular focus is on empowering youths by creating a friendlier tax environment for digital jobs and remote work.
Additionally, Tinubu revealed that through export incentives, Nigerian businesses would be able to compete globally. His administration’s National Single Window project has aimed to streamline international trade, reduce delays, and enhance Nigeria’s competitiveness.
In his statement, Tinubu announced the establishment of a Tax Ombudsman, an independent institution intended to protect vulnerable taxpayers and ensure the system works for everyone, particularly small businesses. He highlighted the introduction of a new national fiscal policy as a strategic framework to guide fair taxation, responsible borrowing, and disciplined spending.
Tinubu concluded by stating that the reforms are designed to reduce the cost of living, promote economic justice, and build a business-friendly economy that attracts investment and supports every Nigerian. “Together, we are creating a system where prosperity is shared, and no one is left behind,” the President affirmed.
