Nigeria’s GDP growth decelerated in 2022 amid global headwinds, including elevated commodity prices and soaring inflation resulting from Russia’s invasion of Ukraine. The IMF’s GDP growth projection of 3.2% for 2023 is in recognition of the measures Nigeria has undertaken to boost oil production. Nevertheless, the country’s medium-term economic plan, the National Development Plan (NDP) 202
Interview:Yomi Olugbenro How can businesses stay abreast of the numerous changes in the country’s tax laws? YOMI OLUGBENRO: The updates to tax legislation are necessary because they help to align the laws with current realities. To stay abreast of these revisions, finance officers should undertake continuous training through webinars, and participate in capacity-building programmes and workshops…
The Nigerian tax system rests on constitutional provisions, which provide the basis for the allocation of taxation powers among the tiers of government and also serve as the bedrock on which the tax obligation of each citizen rests. The philosophy of the tax system is encapsulated in the National Tax Policy, with laws enacted at the federal, state and local government levels to highlight specific types…
Nigeria has a long-standing reliance on crude oil sales to generate revenue. However, the ongoing volatility in oil prices and the growing shift to alternative energy sources have made reliance on crude oil sales for fiscal planning unsustainable in the long term. The shortage of daily crude oil production in Nigeria is an additional challenge, thereby making revenue diversification and the shift to…
Nigeria’s tax system has undergone a significant transformation due to the enactment of three annual finance acts, which have amended a total of 19 pieces of legislation, and 167 provisions of tax and fiscal laws – changes that have included a gradual shift from direct to indirect tax and a higher value-added tax rate. While many stakeholders have continued to advocate for a total overhaul of the…
Nigeria is the biggest economy in Africa, with GDP of $432.3bn in 2020, according to the World Bank, and home to one of the largest proven oil reserves on the continent. The country has developed an investment-friendly business climate over two decades of civilian rule and in the nearly 60 years since independence, boosted by its oil and gas wealth, and the entrepreneurial spirit of its young popu
The drive to increase government revenue through tax collection will not likely abate in the years to come as revenue from oil, which the government had been heavily depended on in the past is constantly declining. The government has further confirmed this position in recent times through its tax amnesty programmes and other policies. The Voluntary Assets and Income Declaration Scheme (VAIDS)…
In conjunction with Grant Thornton, this chapter explores the taxation system and Nigeria’s efforts to build an investor-friendly environment. It also contains a viewpoint with Peter N Orizu, Executive Chairman; and Nkwachi Abuka, Partner and Head of Tax, Grant Thornton.…
Viewpoint:Peter N Orizu, Nkwachi Abuka MSMEs are critical to the development of any nation due to their numerous contributions to the economy. MSMEs are perceived to be the engine of growth and catalyst for socio-economic transformation of any country because of their significant contribution to the advancement of new product development and processes, and employment generation. In developing…
For Nigeria to experience meaningful and enduring economic growth and development, its ability to attract substantial foreign direct investment (FDI) is crucial, as it permits transfer of technology and skills to facilitate improvements in productivity, which in turn translates to an increase in the country’s per capita income and an overall standard of living. The uniqueness of the Nigerian…
