In Abuja on Tuesday, President Bola Tinubu expressed his unwavering dedication to breaking the troubling cycle of excessive reliance on borrowing for public expenditures, a trend that burdens Nigeria with the weight of debt servicing.
This reliance adversely affects the prudent management of the country’s limited government revenues.
The President inaugurated the Presidential Committee on Fiscal Policy and Tax Reforms, headed by Mr. Taiwo Oyedele.
The President tasked the committee with enhancing the nation’s revenue generation and fostering an improved business environment. This initiative aligns with the Federal Government’s objective of achieving an 18% Tax-to-GDP ratio within a span of three years.
Emphasising a one-year mandate, the President directed the committee to focus on three key areas: fiscal governance, tax reforms, and growth facilitation. He also urged all government ministries and departments to extend full cooperation to the committee in order to realise their shared mandate.
President Tinubu underlined the paramount importance of the committee’s task. As his administration shoulders the hopes of the citizens yearning for improved livelihoods, he called for a concerted effort to uplift the nation and deliver on the promises made to the people.
”We cannot blame the people for expecting much from us. To whom much is given, much is expected. It is even more so when we campaigned on a promise of a better country anchored on our Renewed Hope Agenda. I have committed myself to use every minute I spend in this office to work to improve the quality of life of our people,” he declared.
Acknowledging Nigeria’s current international standing in the tax sector, the President said the nation is still facing challenges in areas such as ease of tax payment and its Tax-to-GDP ratio, which lags behind even Africa’s Continental average.
“Our aim is to transform the tax system to support sustainable development while achieving a minimum of 18% tax-to-GDP ratio within the next three years. Without revenue, government can not provide adequate social services to the people it is entrusted to serve.
The Committee, in the first instance, is expected to deliver a schedule of quick reforms that can be implemented within thirty days. Critical reform measures should be recommended within six months, and full implementation will take place within one calendar year,” the President directed.
Recounting the President’s track record on revenue transformation, the Special Adviser to the President on Revenue, Mr. Zacchaeus Adedeji, described the committee members, drawn from the public and private sectors, as accomplished individuals from various sectors.
”Mr. President, you have the pedigree when it comes to revenue transformation. You demonstrated this when you were the Governor of Lagos State over 20 years ago,” the Special Adviser said.
Chairman of the Committee, Mr. Taiwo Oyedele, pledged the total commitment of members to give their best in the interest of the nation.
