Nigeria’s tax reforms driving transparency, laying foundation for growth – CSO

Coalition for Fiscal Justice, Economic Renewal and Public Accountability (COFJERPA), a civil society organisation, says Nigeria’s ongoing tax reforms are improving transparency and strengthening the country’s fiscal outlook.

The group made the assessment in a statement issued on Thursday.

Clarus Nnaemeka, national president of the group, commended the Nigeria Revenue Service (NRS) and Zacch Adedeji, its executive chairman.

He described the reforms as a “bold and disciplined re-engineering of Nigeria’s revenue architecture”.

The coalition said monthly revenue increased from N711 billion in May 2023 to N3.635 trillion by September 2025, adding that total collections rose from N6.41 trillion in 2021 to N28.79 trillion in 2025.

Nnaemeka said the figures reflect early gains from reforms aligned with the Bola Tinubu administration’s economic agenda.

“For decades, Nigeria grappled with a narrow revenue base, systemic leakages and weak tax compliance,” he said.

“What we are witnessing today is a deliberate shift towards a more transparent, technology-driven, and accountability-focused system that is gradually restoring confidence in public finance management.”

He said the expansion of the tax net to over 19 million taxpayers, including more than 800,000 corporate entities, marks a milestone in formalising the economy.

Nnaemeka said improved revenue mobilisation would enable investment in key sectors.

“When revenue improves in a transparent and accountable manner, it strengthens the government’s capacity to fund public goods,” he said.

“This translates, over time, into better roads, more functional hospitals, improved schools and targeted interventions for vulnerable populations.”

He added that higher revenue could reduce fiscal deficits and borrowing pressures.

The coalition also commended efforts to improve fairness and efficiency in the tax system.

“A tax system perceived as fair is more likely to command voluntary compliance,” he said.

“This is critical for building a sustainable revenue culture where citizens see taxation not as a burden, but as a civic responsibility tied to visible national development.”

The group, however, warned that sustaining the gains would require policy consistency and accountability.

“It is not enough to collect more; government must also spend better. Transparency in revenue utilisation will ultimately determine whether these reforms translate into enduring public trust,” he said.

The coalition urged the NRS to strengthen engagement with taxpayers and intensify efforts to curb evasion.

Nnaemeka said digital tools should be leveraged to block leakages and improve efficiency, adding that reforms provide a pathway towards fiscal resilience and inclusive growth.

“What is emerging is the foundation of a new fiscal contract between the state and its citizens,” he said.

“If sustained, it holds the promise of aligning national prosperity with the everyday realities of Nigerians.”