Toba Owojaiye reporting
Abuja, Nigeria
In a bold and transformative move to overhaul Nigeria’s revenue collection system, President Bola Tinubu has unveiled an ambitious plan that promises to inject efficiency into the nation’s financial structure. The centerpiece of this initiative is the creation of a new Nigeria Revenue Service (NRS), designed to centralize and streamline revenue collection—a shift that will revolutionize how the Federal Government secures its income.
Gone are the days of fragmented and inefficient systems, where over 60 agencies, including the Nigerian Customs Service and the Nigerian Ports Authority, juggled revenue collection alongside their primary duties. By redirecting these agencies back to their core mandates—focusing on trade facilitation and other vital tasks—Nigeria is set to become a leaner, more efficient, and more fiscally responsible nation. This is the governance of the future: cutting waste, improving revenue collection, and ensuring that every kobo serves the public good.
Truth Live News gathered that President Tinubu, in his characteristic visionary style, has presented this plan as part of a sweeping tax reform package to the National Assembly. The reform seeks to reverse Nigeria’s low tax-to-GDP ratio, currently one of the lowest in Africa, and push it toward a more sustainable 18%. With the Nigeria Revenue Service (Establishment) Bill, Tinubu aims to replace the Federal Inland Revenue Service (FIRS), establishing a more capable and unified body to ensure that all taxable entities contribute fairly to national growth.
This streamlined approach also introduces other essential tax reforms, including the Nigeria Tax Bill, Nigeria Tax Administration Bill, and the Joint Revenue Board (Establishment) Bill. These forward-thinking measures will simplify Nigeria’s taxation laws, ensure better administration, and provide a system that holds taxpayers accountable while protecting small businesses and the vulnerable.
By focusing on efficiency, this centralization effort represents a frugal, pragmatic response to Nigeria’s current economic challenges. Instead of creating overlapping bureaucracies, the government is consolidating efforts, cutting unnecessary costs, and promoting a more accountable and transparent system. President Tinubu’s proposal could not have come at a more critical time, offering a lifeline to a nation in economic downturn.
As he stated, “I am confident that the bills, when passed, will encourage investment, boost consumer spending, and stimulate Nigeria’s economic growth.” The plan is set to energize the economy, attract foreign investment, and create an environment conducive to growth. Key lawmakers, including Speaker Tajudeen Abbas, have already rallied behind the president’s initiative, emphasizing its potential to drive economic sustainability.
While some skeptics, such as freight forwarding experts like Dr. Eugene Nweke and Taiwo Fatobilola, have voiced concerns about the feasibility of transferring revenue collection duties away from specialized agencies like Customs, the broader vision remains clear. This frugal approach ensures that every naira is efficiently collected and responsibly spent, heralding a more prosperous future for Nigeria.
In a country facing immense economic challenges, this decisive move sets a new tone for governance—one that prioritizes fiscal responsibility and bold leadership in shaping the nation’s future.