President Bola Ahmed Tinubu on Tuesday inaugurated the presidential committee on fiscal policy and tax reforms at the State House, Abuja.
The Special Adviser to the President on Special Duties, Communications and Strategy, Dele Alake, in a statement on July 7 noted that the committee would be chaired by Fiscal Policy Partner and Africa Tax Leader at Price Waterhouse Coopers, Taiwo Oyedele.
The committee comprises experts from both the private and public sectors and will be responsible for various aspects of tax law reforms, fiscal policy design and coordination, harmonization of taxes, and revenue administration.
Alake said the committee’s primary objective is to enhance revenue collection efficiency, ensure transparent reporting, and promote the effective utilisation of tax and other revenues to boost citizens’ tax morale, foster a healthy tax culture, and drive voluntary compliance.
Special Adviser to the President on revenue, Zacchaeus Adedeji emphasised the importance of a sound fiscal policy environment and an effective taxation system for the functioning of the Government and the economy.
He said Nigeria ranks very low on the global ease of paying taxes while the country’s tax to gross domestic product ratio “is one of the lowest in the world and well below the African average”.
This has led to an over reliance on borrowing to finance public spending which in turn limits the fiscal space as debt service costs consume a greater portion of government revenue, annually resulting in a vicious cycle of inadequate funding for socio-economic development, Alake said.
“While some incremental progress has been recorded over the years, the outcomes have not been transformative enough to change the narrative”, he further added.
