Chairman of the Presidential Committee on Fiscal Policy and Tax Reforms, Taiwo Oyedele, stated that implementing the tax reforms would significantly enhance the N35 trillion revenue projected in the 2025 Appropriation Bill.
Speaking during a panel discussion at the launch of the Nigerian Economic Summit Group’s 2025 Macroeconomic Outlook, themed “Stabilisation in Transition: Rethinking Reform Strategies for 2025 and Beyond,” Taiwo Oyedele highlighted the Federal Government’s revenue and budget projections 2025. The government has set a total revenue target of N36.35tn, driven by improved non-oil revenue generation, while the proposed budget of N49.75tn is still under consideration at the National Assembly.
Taiwo Oyedele discussed the expected revenue increase once the tax reform bills, currently before the National Assembly, are passed and implemented. He noted that the reforms, including changes to corporate and personal income taxes, would be major contributors to the revenue boost, projected to be in the trillions of naira.
Oyedele affirmed that, we also have other reforms from corporate tax to personal income tax, and these are where the revenue will come from. Overall, it is therefore right to conclude that from a fiscal sustainability point of view, we made a turn, and we are now moving in the right direction.”
He highlighted that revenue is expected to rise significantly, with the budget not yet reflecting the full impact of the upcoming reforms. By harmonizing tax collection, the government aims to close substantial leakages, potentially worth trillions of naira. Additionally, despite governors’ opposition to rate increases, efforts to improve VAT compliance are expected to boost revenue. Closing the 70% compliance gap through fiscalization measures should result in a rapid increase in VAT collection.
