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FG generates N8.09trn from VAT, electronic money transfers in 11 months
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The federal government generated the sum of N8.09trn between January and November 2025, analysis of documents of the Federal Account Allocation Committee (FAAC) has shown.
A breakdown showed the government collected N7.69trn from Value Added Tax and N403.68bn from Electronic Money Transfer Levy (EMTL).
Analysis for VAT indicates that the government collected N771.86bn in January but reduced to N654.456bn in February and down to N637.61bn in March.
It increased slightly to N642.26bn in April then N742.82bn in May before experiencing another drop to N678.16bn in June. There was a notable increase to N687.9bn in July and further increase to N722.61bn in August.
September saw the continuous increase to N872.63bn before it further dropped to N719.82bn in October and N563.04bn in November.
For EMTL, January saw a collection of N21.40bn while in February it was N36.63bn and N26.01bn in March. April recorded the collection of N40.48bn while N28.82bn was collected in May.
In June it increased to N30bn and July witnessed further increase to N39.16bn but August’s collection dropped to N33.68bn.
September recorded the highest collection during the year with N53.83bn while there was a slight reduction in October to N49.86bn and N43.4bn was collected in November.
EMTL replaced with stamp duties from January 1
Meanwhile, the Electronic Money Transfer Levy (EMTL) has been replaced with Stamp Duties effective January 1, 2026.
This is in accordance with the Nigeria Tax Act (NTA) 2025, with N50 Stamp Duties charged on account when transfer of N10,000 or more to another beneficiary as mandated by the Federal Inland Revenue Service (FIRS).
A statement by PalmPay to its customers at the weekend said the sender will be charged Stamp Duties and not the receiver.
It read: “In accordance with the Nigeria Tax Act (NTA) 2025, the Electronic Money Transfer Levy (EMTL) has been renamed Stamp Duties effective January 1, 2026. N50 Stamp Duties will be charged on your account when you transfer N10,000 or more to another beneficiary as mandated by the Federal Inland Revenue Service (FIRS).
The sender will be charged Stamp Duties and not the receiver.
These Stamp Duty does not apply to transfers between your own PalmPay accounts where the names and BVN/NIN match.
Please note that PalmPay does not benefit from this stamp duty. It is remitted directly to the Federal Government. The Stamp Duty replaces the Electronic Money Transfer Levy (EMTL).”
Daily Trust reports that EMTL is a small but growing source of government revenue.
It generated N219.11bn in 2024, beating its N174.24bn projection.
That growth was driven largely by the extension of the levy to fintech platforms such as OPay, PalmPay, and Moniepoint.
Initially, EMTL applied only to deposit money banks. However, in December 2024, fintech transactions were also subjected to the same EMTL.
With the expanded stamp duty regime, the government is projecting N456.07bn in revenue in 2026, rising to N579.82bn in 2027 and N752.45bn in 2028.
The projections have been factored into the medium term expenditure framework (MTEF) for the 2026 budget making stamp duty a key pillar of fiscal certainty.
Also, under EMTL, revenue was shared between the federal government (15%), state governments (50%), and local governments (35%). Under the new tax law, the federal share drops to 10%, while states take 55%.
Replacing EMTL with stamp duty is part of a broader package of tax reforms set to take effect in January 2026. The new tax laws were enacted to improve tax collection and grow non-oil revenue.
The extra N50 people have to pay is insignificant in isolation, but multiplied across millions of daily transfers, it adds up to hundreds of billions for the government, and steadily erodes affordability for Nigerians who rely on digital payments to move money quickly and cheaply.
The EMTL was introduced under the Finance Act 2020 and it places a singular and one-off levy of N50 on the recipient of any electronic receipt or transfer of N10,000 or above.
Since its introduction, small business owners and point-of-sale (POS) operators and individual account holders have lamented the erosion of value of transfer made to them.
For instance, if N10,000 was transferred to a recipient with zero account balance for instance, the N10,000 reduces in value.
Many POS operators have particularly raised concern over the N50 levy which they said has led to reduction in their profit bottom-line.
Our correspondent however reports that some of the POS operators have devised several methods to hedge against it.
Daily Trust learnt that POS attendants charge N100 on transactions less than N5,000 and N200 on N10,000 while some of them had to review their charges to remain in business.
From EMTL to Stamp duty explained
Stamp duty is a tax on instruments (written or electronic documents). The Stamp Duties Act Cap. S8 LFN 2004 (“SDA” or the Act”) can be traced to the 1893 Stamp Duties and Stamp Duties Management Acts passed by the British Parliament.
It was enacted and came into force on 1 April 1939. specific amount regardless of the value of the transaction. The Finance Act 2019 (“the FA 2019”), particularly section 52, expanded the scope of the SDA to capture electronic transactions.
The FA 2019 (in section 54 which amended section 89 of the SDA) also expressly introduced stamp duties on bank deposits and transfers. This has been replaced by an Electronic Money Transfer Levy (‘EMTL”) now contained in a new section 89A of the SDA (amended by section 48 of the Finance Act, 2020 (‘the FA 2020”).
The Act, amongst other things, imposes stamp duties on written or electronic instruments (agreements, contracts, receipts etc.). Under the Act, stamp duties may be levied either at an ad valorem or flat rate depending on the type or nature of the instrument.
Chairman of the Presidential Committee on Tax Reform, Mr. Taiwo Oyedele had insisted that no new tax has been introduced in the new tax reform laws which would take effect on January 1, 2026.
According to him, the new government is on record to have repealed, reversed and suspended more taxes.
He listed the taxes that have been suspended to include 5% excise tax on airtime & data; Cybersecurity levy on money transfers; Carbon tax on single use plastics; Excise tax on imported vehicles; Import duties on food items, Agric and pharmaceuticals ; 4% import levy; FRCN charge on private companies and Expatriate employment levy.
In a recent presentation on the new tax laws, Oyedele expressed confidence that the new tax laws would stimulate growth without adding to inflation burden.
By Gloria Ikibah
Sterling Financial Holdings Company Plc defied the broader downturn in the banking sector on Thursday, with its shares rising 6.67 per cent to close at ₦8.00, placing the company among the top-performing stocks on the Nigerian Exchange (NGX).
The impressive performance came on a day when the NGX Banking Index fell by 2.04 per cent and the broader equities market extended its losing streak for a second consecutive trading session.
The company’s shares finished third on the day’s gainers’ chart, contrasting sharply with the wider market, where investors continued to take profits following July’s rally.
Market data showed that the NGX All-Share Index declined by 0.7 per cent, while losers outnumbered gainers by more than two to one. Over the two trading sessions, approximately ₦1.65 trillion was wiped off the total value of listed equities.
Despite the market pressure, Sterling Financial attracted sustained investor interest, with 36.01 million shares valued at about ₦286.8 million exchanged during the day’s trading.
The strong market performance followed the Group’s recently released half-year financial results, which showed a 20.4 per cent increase in profit after tax to ₦50.3 billion, alongside continued growth in customer deposits and total assets approaching the ₦5 trillion mark.
The Group also strengthened its capital position during the period through a successful ₦96.6 billion public offer, which increased shareholders’ funds by 27.8 per cent to ₦547.7 billion, providing additional capacity to support lending and business expansion.
Sterling Financial’s financial performance was further underpinned by improved earnings from its core operations. Net interest income rose by 41 per cent to ₦137.4 billion, while return on average equity stood at 20.6 per cent. Return on average assets also improved to 2.35 per cent from 2.05 per cent recorded in the corresponding period of the previous year.
Industry analysts attributed the stock’s resilience to the company’s strong earnings performance, strengthened capital base and diversified business model, which have continued to bolster investor confidence despite prevailing market volatility.
Sterling Financial operates as a diversified financial services holding company with interests spanning commercial banking through Sterling Bank, non-interest banking under The Alternative Bank, and wealth management services through SterlingFI.
…warn against spreading false information
By Gloria Ikibah
Access Bank Plc has dismissed as false and misleading a viral message circulating on social media and WhatsApp claiming that the bank has shut down operations, assuring customers and stakeholders that it remains financially strong and fully operational.
In a disclaimer issued on Friday, the bank said the message, which falsely impersonates its official communication channels, was deliberately designed to mislead the public and create unnecessary panic.
The bank reassured customers that all its branches and subsidiaries remain open for business, with banking services continuing without disruption.
“A message impersonating Access Bank’s official handle is currently circulating on social media and WhatsApp. It is false and misleading.
“We wish to reassure our customers, partners, stakeholders, and the public that Access Bank is safe, financially strong, and fully operational across all our subsidiaries. Our services continue to run seamlessly, and we remain committed to serving our customers with the highest standards of excellence”, the statement read.
The management said it had commenced efforts with security and regulatory agencies to trace those behind the false publication, warning that those responsible would face legal consequences.
“We are working closely with the relevant regulatory and law enforcement authorities to identify those responsible for creating and spreading this false information to cause panic and business disruption. Appropriate legal action will be taken in accordance with applicable laws and regulations”, it stated.
Access Bank also reminded the public that the deliberate creation and dissemination of false information capable of causing public alarm or undermining confidence in institutions is a criminal offence under Nigeria’s cybercrime laws.
“We also remind members of the public that creating, publishing, and disseminating false information capable of causing public alarm, damaging reputations, or undermining confidence in institutions constitutes an offence under Section 24 of the Cybercrimes (Prohibition, Prevention, etc.) (Amendment) Act, 2024”, it added.
The bank urged customers and the general public to disregard the viral message and avoid forwarding unverified information, advising them to rely only on updates issued through its official and verified communication channels.
The management expressed appreciation to customers, partners and other stakeholders for their continued confidence in the institution.
“If you receive a false and misleading message, please do not share or forward it. Instead, disregard it and rely only on information communicated through Access Bank’s official and verified channels.
“We thank our customers, partners, and stakeholders for their continued trust and confidence in Access Bank”, the statement further read.
By Gloria Ikibah
Sterling Financial Holdings Company Plc has reported a strong financial performance for the first half of 2026, posting a 20.4 per cent increase in profit after tax as the Group’s total assets climbed close to the N5 trillion mark.
The unaudited results for the six months ended June 30, 2026, released on Thursday, showed broad-based growth across major financial indicators, driven by higher interest income, an expanding loan portfolio and sustained growth in customer deposits.
The Group recorded gross earnings of N279.6 billion, representing a 31.5 per cent increase over the corresponding period in 2025. Interest income rose by 33.7 per cent to N223.6 billion, while net interest income increased by 41 per cent to N137.4 billion.
Non-interest income also grew by 23.3 per cent to ₦56 billion, supported by stronger fee income and improved earnings from other operating activities.
Sterling Financial’s balance sheet also recorded significant growth during the period, with total assets rising by 19.3 per cent to N4.67 trillion, while customer deposits expanded by 21.1 per cent to N3.62 trillion, reflecting continued confidence in the Group’s banking operations.
Profit before tax increased by 21.9 per cent to N55.5 billion, while profit after tax rose by 20.4 per cent to N50.3 billion.
The Group also improved its profitability ratios, with return on average equity standing at 20.6 per cent, while return on average assets improved from 2.05 per cent to 2.35 per cent.
Shareholders’ funds grew by 27.8 per cent to N547.7 billion, largely driven by the successful N96.6 billion public offer through which the company raised capital from the issuance of 13.8 billion ordinary shares.
The company also disclosed that its share price had appreciated by more than 15 per cent since the beginning of the year, reflecting stronger investor confidence ahead of the release of its half-year results. Basic earnings per share stood at 77 kobo, reflecting the enlarged share capital following the public offer.
Sterling Financial attributed the performance to ongoing investments in technology and operational efficiency across its subsidiaries, including Sterling Bank, AltBank and SterlingFI.
According to the Group, the modernisation of its technology infrastructure and operating model has improved service delivery, enhanced operational efficiency and strengthened its capacity to support increasing customer activity while maintaining prudent risk management.
The company expressed confidence that its strengthened capital base, expanding deposit base and diversified earnings would position it for stronger growth in the second half of the year.
It noted that the additional capital would continue to support lending to productive sectors of the economy while enabling the Group to sustain long-term value creation for shareholders.
Sterling Financial Bucks Banking Slump, Emerges Among NGX’s Top Gainers
Access Bank Dismisses Fake Shutdown Report
Sterling Financial Posts 20% Profit Growth, Assets Approach N5tn in Half-Year Results
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