Nigeria can build strong fiscal system – Federal Government

The federal government has said Nigeria has the potential to build one of the strongest fiscal systems in the world if ongoing tax reforms are fully implemented and sustained.

This position was presented at the 28th Annual Tax Conference of the Chartered Institute of Taxation of Nigeria (CITN), where government officials and tax experts stressed the need for a modern, transparent and investment-friendly tax system capable of supporting long-term economic growth and national development.

Minister of Finance and Coordinating Minister of the Economy, Mr. Taiwo Oyedele, said the reforms were designed to build a stronger fiscal foundation for Nigeria after years of structural weaknesses in the country’s tax administration.

According to him, government revenue had remained too low compared to the country’s growing development needs, making the old fiscal model unsustainable.

Oyedele said changing global economic realities have made tax reforms unavoidable, noting that economies are becoming increasingly digital, capital is moving more freely across borders and global supply chains are evolving rapidly.

He said governments around the world are also under pressure to finance development sustainably while citizens continue to demand fairness, accountability, transparency and better public services.

He explained that the reforms are moving Nigeria away from a fragmented and uncertain tax structure towards a system built on clarity, certainty and harmonisation.

He added that the reforms were developed using international best practices while still taking into account Nigeria’s local economic realities.

Oyedele also described the reforms as growth-oriented, investment-friendly and capable of helping to moderate inflation.