News
Rising Taxes, Oil Shore Up FG’s Revenue By 76% To N12.5tn — Budget Office
Rising taxes and oil revenues by the Federal Government have boosted its earnings by 76 per cent, from N7.1 trillion in 2022 to N12.5 trillion in 2023.
The newly released 2025-2027 Medium Term Expenditure Framework and Fiscal Strategy Paper, obtained by our correspondent from the Ministry of Budget and Economic Planning, revealed this development.
According to the budget office, while total revenue was up by 76 per cent, oil revenue rose by a whopping 200 per cent from N0.8 trillion in 2022 to N2.4 trillion in 2023, contributing 19.2% to total revenue.
The remarkable increase in oil revenue is attributed largely to higher crude oil production, which increased from an average of 1.31mbpd in 2022 to 1.41mbpd in 2023.
Non-oil revenue increased by 57.8% from N6.4 trillion in 2022 to N10.1 trillion in 2023, contributing 80.8% to the total revenue.
In 2023, the actual gross oil and gas revenue was N7.87 trillion, compared to N9.38 trillion projected, representing an 83.9% performance.
After accounting for deductions, the net oil and gas revenue which accrued to the Federation Account was N4.93 trillion. This is N306.0 billion, about 6.6% above the target.
Non-oil revenue outperformed the budget both at gross and net levels.
The projection for gross non-oil taxes was N7.53 trillion, but N9.89 trillion was collected, representing a performance of 31.2% over the budget.
Corporate Income Tax (CIT) and Value-added Tax (VAT) collections were N4.27 trillion and N3.64 trillion, representing 103.9% and 23.2% performances above the target, respectively. Customs collection was N1.98 trillion, which is 79.6% of the target.
FG’s revenue showed significant performance over the budget.
While the budget provision was N11.05 trillion in 2023, the actual revenue was N12.84 trillion, representing % over the budget.
Of this actual revenue, oil revenue was N2.38 trillion (6.6% over the target), while non-oil tax revenue was N3.31 trillion (34.3% above the target).
The contributions of CIT and VAT to FGN non-oil tax revenue were N1.92 trillion and N476.11 billion, respectively, representing 106.1% and 24.3% higher than the Budget.
N781.80 billion was collected as import duties, excise, and fees, while N107.47 billion was from Special Levies bringing the total collections by the Nigerian Customs Service to N889.27 billion. FG’s share of the Electronic Money Transfer Levy was N23.65 billion.
Other revenues collected include independent revenues of N1.84 trillion, a draw-down of N159 billion from Special Accounts, a Signature bonus of N256.99 billion, and an Education Tax of N719.44 billion. N2.19 trillion accrued as Government Owned Enterprises (GOEs) retained revenue, while Grants/Aid was N1.57 trillion.
Special Accounts, a Signature bonus of N256.99 billion, and an Education Tax of N719.44 billion. N2.19 trillion accrued as Government Owned Enterprises (GOEs) retained revenue, while Grants/Aid was N1.57 trillion.
The budget office said “The expectation is for increased and sustainable revenue streams as the positive effects of the diverse reforms begin to yield the desired results.
“The government will therefore be able to meet its fiscal obligations and implement programmes and projects articulated in the Renewed Hope Agenda of the current Administration.
“While the increase in the non-oil revenue raises the tax-GDP ratio, Nigeria still ranks low when compared with nations with similar economic potentials.
“This narrative could possibly change with the full implementation of the recommendations of the Presidential tax reform committee.
“The progress being recorded in the tax system is already being noticed, with the 2023 Tax Transparency in Africa Report highlighting that Nigeria is making progress in the development of its Exchange of Information (EOI) strategy, aimed at curbing tax evasion through transparency among the 33 member countries.”
News
Trump Replies Episcopal Bishop’s Call for Mercy on LGBTQ+ Community and Migrant Workers
By Kayode Sanni-Arewa
During the inaugural prayer service, Right Reverend Mariann Budde, the Episcopal Bishop of Washington, delivered a poignant message urging President Donald Trump to extend mercy to the LGBTQ+ community and undocumented migrant workers.
Her powerful appeal was made in front of a congregation gathered for the historic event, calling on the president to embrace compassion and understanding toward marginalized groups.
Following the service, President Trump was asked about the sermon and the bishop’s remarks.
In a brief interaction with the press, the president remarked that he did not believe the service had been “a good service,” without further elaborating on his stance.
Bishop Budde’s remarks have sparked a range of reactions, with advocates for LGBTQ+ rights and immigrant communities expressing hope that her call would resonate with the president, while others have criticized the president’s response.
The appeal for mercy and inclusion comes as the new administration begins its term, and its stance on issues of social justice and human rights remains closely watched.
News
Inflation, Rising Costs Behind 50% Telecom Tariff Increase – Minister
…FG to invest ₦6bn in fibre optic expansion
By Gloria Ikibah
The Minister of Communication, Innovation, and Digital Economy, Dr. Bosun Tijani, has attributed the recent 50 percent increase in telecommunication tariffs to inflation and rising operational costs.
The Minister disclosed this during the 2025 budget defense session held by the joint House of Representatives and Senate Committees on Communication, on Tuesday in Abuja.
Explaining the rationale behind the tariff hike, Dr. Tijani stated that the move aligns with broader economic trends where increased tariffs lead to higher consumer prices due to added costs on imported goods.
The Minister also revealed plans by the Federal Government to invest ₦6 billion in the deployment of 90,000 kilometers of fiber optic cables, increasing Nigeria’s current coverage from 35,000 kilometers to 125,000 kilometers, and he described this initiative as a critical step towards boosting communication infrastructure and fostering growth in key sectors of the economy.
“Tariffs act as a sales tax, causing a one-off price increase rather than sustained inflation.
“Outside of South Africa and maybe Egypt or Tunisia, many African countries face a significant deficit in fiber optic cable coverage.
“This is going to become a big business. We want Nigerian companies not only to lay cables within Nigeria but also to provide these services for neighboring countries. And we want our people to be the workforce driving this transformation,” he said.
Dr. Tijani who emphasised the importance of communication infrastructure in ensuring security and economic development, highlighted the historical reliance on private investment for telecommunications infrastructure, which has often prioritized profitable urban areas over rural communities.
“Private companies only invest where they see potential returns.
“They use tools like night-time satellite data to identify economic activity, represented by lights, and focus their investments in those areas. This has left many underserved regions without proper infrastructure. Addressing this disparity is a priority for us,” he explained.
The Minister, however, lamented the inadequate funding of the Ministry, which he said hampers its ability to fulfill its mandate effectively.
“The Ministry is underfunded compared to agencies like the NCC. We lack the necessary resources and software to track revenue-generating activities efficiently. With better funding, the Ministry could generate significantly more revenue and enhance its impact,” he said.
In his remarks, Senator Shuaib Salisu, Co-Chairman of the Senate Committee on Communication, acknowledged the critical contributions of the communication sector to Nigeria’s economic growth. He called for a review of the Ministry’s 2025 proposed budget to ensure it is adequately equipped to deliver on its mandate.
Following discussions, the Committee adopted a motion urging the Committees on Appropriation to consider an upward revision of the Ministry’s budget for 2025.
News
Kalu Calls On UK Govt to Support Nigeria’s War Against Corruption
…praised diplomatic ties between the two countries
By Gloria Ikibah
The Deputy Speaker of the House of Representatives, Rep. Benjamin Kalu, has called on the government of United Kingdom (UK) to support Nigeria’s fight against corruption.
The Deputy Speaker made the call during his speech in an event tagged “UK-Nigeria Collaboration: A Parliamentary Strategic Dialogue” which attracted the presence of the Deputy Leader of the British House of Lords, Rt. Hon. Lord Collins among other members of parliament from Nigeria and UK in London on Wednesday.
Kalu emphasized the importance of collaboration between the two countries in tackling corruption amongst other challenges.
He commended the diplomatic ties between Nigeria and the United Kingdom, highlighting the potential for deepened economic relationships.
Referencing the partnership between Nigeria and the UK as a testament to shared values and mutual interests, Kalu added that by deepening collaboration across these sectors, both countries will unlock the opportunities for sustainable growth and development.
He said: “The UK-Nigeria Strategic Partnership establishes a comprehensive framework for deepening bilateral relations and achieving shared objectives. This collaboration spans six pillars: Growth and Jobs: Through the Enhanced Trade and Investment Partnership (ETIP), both nations will drive mutual economic growth by addressing market barriers, boosting two-way trade, and fostering sustainable investments in manufacturing, agriculture, and energy.
“Both nations commit to facilitating safe migration, tackling visa abuse, and operationalizing prisoner transfer agreements while advancing reforms in global financial systems.
“I wish to call on the UK Government to intensify its efforts towards supporting Nigeria’s war against corruption in all its facets. One of the ways the UK can support this fight is to ease the process of repatriation of monies seized from Nigerian officials that are trapped in the UK financial system. Incidentally, I am here with the Chairman of the Nigerian Parliament Committee on Financial Crimes and he will be happy to continue the conversation with relevant officials.
“Nigeria seeks the UK’s continued support in recovering illicit funds. Enhanced collaboration should focus on: Setting up mechanisms to curb illicit financial flows. Strengthening institutions to combat corruption. Facilitating asset recovery processes through bilateral agreements”.
Kalu who is the Chairman, Nigeria’s House Committee on Constitution Review and an advocate for political inclusion also called on the UK’s Foreign, Commonwealth & Development Office (FCDO) to support the work of the panel.
“As Chair of the House Committee on Constitution Review, I acknowledge the monumental task of refining Nigeria’s constitutional framework to reflect the evolving needs of its people. Key issues under deliberation—such as the creation of special status seats for women in legislative assemblies, the enactment of more gendersensitive legislation, and the potential introduction of sub-national policing—are pivotal to fostering inclusive governance and addressing the nation’s security challenges.
“Thus, I implore the UK’s Foreign, Commonwealth & Development Office (FCDO) to extend tailored support to the Committee’s critical work. By providing technical assistance, research expertise, and capacity-building programs, the FCDO can help ensure that these constitutional reforms are comprehensive, evidence-based, and aligned with international best practices.
“Such support would not only strengthen Nigeria’s democratic institutions but also reinforce shared values of equity, justice, and security, which underpin the UK-Nigeria Strategic Partnership. This collaboration would demonstrate a profound commitment to empowering marginalized groups, ensuring safer communities, and fortifying Nigeria’s legislative framework for future generations”, he said.
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