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Old Tax Laws Made Nigerians Poor — Tinubu Defends New Reforms

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President Bola Ahmed Tinubu has said that outdated, colonial-era tax laws contributed significantly to economic hardship and poverty among Nigerians.

The President made the remark during the commissioning of the 16-storey headquarters of the Nigeria Revenue Service (NRS) in Abuja, according to a statement issued by his Special Adviser on Information and Strategy, Bayo Onanuga.

Tinubu noted that the tax reforms introduced by his administration are aimed at replacing obsolete structures with a more inclusive and growth-driven system.

“On my inauguration day, I made a solemn pledge that we will move Nigerians from the dimness of uncertainty into the clear light of renewed hope,” he said. “I committed to confronting structural weaknesses, restoring financial stability, and building an economy anchored in discipline, equity, and opportunity.”

According to the President, the new tax system, which became fully operational in January, is designed to strengthen the country’s fiscal foundation while promoting long-term economic growth.

He described the reforms as a deliberate effort to build a transparent, efficient, and people-centred revenue system capable of restoring public trust and supporting national development.

Addressing public concerns, Tinubu said the new framework would simplify taxation, eliminate distortions, and promote fairness, while also protecting vulnerable citizens.

“The reforms are designed to simplify our system, eliminate distortions and create a fair, transparent and investment-friendly environment,” he stated. “Our direction is clear: to have a revenue system that rewards enterprise, supports growth, and ensures that every contribution to the national cause is matched by feasible value for the people.”

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Nigeria secures 449,000 metric tonnes of fertiliser inputs to boost food security

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President Bola Tinubu has announced that Nigeria has secured more than 449,000 metric tonnes of fertiliser inputs—equivalent to about nine million bags—to support agricultural production and strengthen food security across the country.

The president disclosed this in a statement posted on his official X account on Thursday, describing the development as part of broader measures by his administration to fulfil its commitment to making Nigeria food-secure.

“As of May 2026, more than 449,000 metric tonnes of fertiliser inputs, equivalent to about nine million bags, had been secured, with 10 vessels discharged or in transit,” Mr Tinubu said.

He recalled that upon assuming office, his administration identified food security as a central pillar of its Renewed Hope Agenda.

“We promised to support our farmers, strengthen local production, reduce dependence on imports, and build an agricultural system strong enough to withstand shocks from beyond our borders.

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“That promise is being kept,” he said.

Fertiliser procurement challenges

Nigeria has long struggled with fertiliser procurement due to rising raw material costs, supply chain bottlenecks, and product diversion, challenges that have limited access for smallholder farmers who account for a significant share of domestic food production.

To address these concerns, the administration of former President Muhammadu Buhari entered strategic partnerships with Morocco in 2016 and Russia in 2019 under the Presidential Fertiliser Initiative (PFI), managed by the Nigeria Sovereign Investment Authority (NSIA).

The initiative began with a Memorandum of Understanding aimed at reviving dormant fertiliser blending plants and importing discounted phosphate from Morocco. In 2021, the partnership expanded into a $1.3 billion basic chemicals platform designed to support local production of ammonia and fertilisers.

The arrangement increased the supply of raw materials to blending plants, boosted domestic production capacity and reduced fertiliser costs. However, challenges, including diversion and sabotage within parts of the value chain continued to limit access for farmers.

Experts have linked inadequate fertiliser availability to declining agricultural yields, rising food prices and worsening food insecurity.

Nigeria’s food system has come under increasing pressure in recent years due to recurrent flooding, insecurity in farming communities, rising transportation costs following fuel subsidy removal, and broader structural challenges.

According to the United Nations World Food Programme (WFP), about 35 million Nigerians are projected to experience acute food insecurity during the 2026 lean season.

Global disruptions

Mr Tinubu said disruptions in global supply chains and rising costs of key fertiliser inputs, worsened by conflict in the Middle East, posed significant risks to countries dependent on imported raw materials.

For Nigeria, he said, the potential consequences included fertiliser shortages, higher input costs, reduced productivity and increased food prices.

“I am pleased to inform you that we moved early,” the president said.

He explained that through the Presidential Fertiliser Initiative, now restructured under the Ministry of Finance Incorporated (MOFI), the government strengthened procurement systems, secured critical raw materials, signed forward contracts and improved coordination across the fertiliser value chain.

According to him, these measures helped shield Nigeria’s fertiliser blending industry from the worst effects of global market disruptions.

Mr Tinubu said the government remains on course to deliver a 1.1 million metric tonne fertiliser programme in 2026, equivalent to about 22 million bags.

He added that strategic contracting for key inputs generated savings of N61.58 billion in 2026 alone, helping to keep fertiliser prices relatively affordable for farmers.

Supporting farmers

The president noted that Nigeria currently has more than 90 operational fertiliser blending plants, giving the country the largest blending capacity in Sub-Saharan Africa.

“This capacity means jobs, local production, industrial growth and greater resilience for our food system,” he said.

Mr Tinubu stressed, however, that securing fertiliser inputs and maintaining production capacity would only be meaningful if the products reach farmers on time.

To address this, he said the government launched the Renewed Hope Farm Input Support Programme (RH-FISP) through the National Agricultural Development Fund (NADF).

READ ALSO: Tinubu speaks on power sector challenges, pledges reforms

Under the programme, 515,720 bags of locally produced fertiliser are being distributed to 128,930 smallholder farmers across 25 states and the Federal Capital Territory during the current planting season.

The NADF is also supporting modern agricultural practices through digital extension services, harmonised fertiliser application guidance and targeted interventions for priority crops such as rice, maize, cassava and soybean.

“Our administration will not relent in its efforts to protect farmers, raise productivity, strengthen the agricultural value chain, support local industry and ease pressure on food prices over time,” Mr Tinubu said.

“This is the meaning of promise made, promise kept. We will continue to take practical steps to strengthen Nigerian agriculture and protect food security for every Nigerian.”


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Senate Clears Customs of ₦62.2BN Under-remittance Allegation

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BY JAMES OBIOMA—The Senate Public Accounts Committee (SPAC) has officially cleared the Nigeria Customs Service (NCS) of a N62.2 billion under-remittance allegation originally raised by the Office of the Auditor-General of the Federation in its 2019 audit report.

The clearance followed an investigative session on Tuesday, 16 June 2026, during which the Comptroller-General of Customs, Adewale Adeniyi, successfully defended the Service by proving that the alleged shortfall was a misclassification of revenue by auditors.

The original query, read by a representative of the Auditor-General under the direction of SPAC Chairman, Senator Ibrahim Dankwambo, had alleged that out of N691.242 billion generated by Customs in 2017, only N629.23 billion reached the Federation Account, leaving a balance of N62.2 billion.

Defending the Service’s financial integrity, CG Adeniyi explained that the multi-billion naira deficit was completely non-existent.

“The under-remittance of N62.2 billion levelled against Customs in the 2019 audit report was wrongly arrived at through misclassification of levies collected,” Adeniyi stated. “While most of the levies are to be collected and remitted into the federation account, others like the ones on local production of wheat, textiles and wines, etc do not go into the federation account, the totality of which accounted for the alleged unremitted N62.2 billion.”

Following identical, convincing clarifications on the first three major queries, a member of the committee, Senator Babangida Hussaini, wondered why the issues had not been ironed out sooner. He noted that as a former civil servant, such straightforward technicalities should have been resolved at the preliminary audit level rather than escalating to a full Senate investigation.

The post Senate Clears Customs of ₦62.2BN Under-remittance Allegation appeared first on Business Today NG.

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