Subsidy Removal Increasing Revenue Inflow, Earns FG 1tr Naira monthly— Minister for Finance

By Mikail Ajibola

Wale Edun, the Minister of Finance, announced on Monday in Asaba, during the opening ceremony of a four-day retreat for members of the Federation Account Allocation Committee (FAAC), that the Federation Account has experienced an enhanced revenue inflow since the removal of the subsidy. The monthly average has surged from N650 billion to over N1 trillion in the last four months.

Represented by Okokon Udo, the Permanent Secretary, Finance, Special Duties, the minister emphasized that the government had long acknowledged the unsustainability of petroleum subsidy. He noted that the subsidy system had depleted revenues that could have been allocated to crucial expenditures for the well-being of the populace.

Highlighting the administration’s commitment to the needs and welfare of Nigerians, the minister assured that the government would persist in implementing policies oriented towards the people.

“We all know that achieving the tax revenue to Gross Domestic Product (GDP) target of 22 per cent and tax to GDP of 18 per cent by 2026 are parts of the cardinal objectives of this administration. “What is necessary to be done is to broaden the tax base, simplify and streamline tax administration for ease of collection,” he said.

On the theme of the Retreat, “Creating a Resilient Economic through Diversification of the Nation’s Revenue”, the minister commended the choice, stressing that it was suitable.