By Muhammad Mamman
Abuja – Nigerian lawmakers have launched a rigorous investigation into the administration of federal tax incentives and export support schemes, warning that the country loses an estimated N8 trillion annually through waivers, exemptions, and other fiscal concessions.
The House of Representatives’ 19-member Ad-hoc Committee is reviewing incentive programmes spanning 2015 to 2025, with a mandate to identify revenue leakages and propose legislative reforms. Chairman James Abiodun Faleke highlighted the urgent need to reassess policies, noting that projected government revenue losses could reach N12.4 trillion between 2023 and 2026, while Nigeria’s tax-to-GDP ratio languishes at a mere 10.6 per cent—the lowest on the continent.
“The incentives were designed to attract investment and support key sectors, but it is imperative we examine their economic outcomes and ensure public resources are safeguarded,” Faleke stated, emphasising transparency and accountability in the review.
The committee’s first phase will focus on major programmes including the Export Expansion Grant, the RT200bn FX Programme, the Pioneer Status Incentive, and selected oil and gas sector incentives. The review will also verify pending claims from exporters under the Export Expansion Grant to ensure proper resolution.
In a parallel development, the Joint Senate-House Committee strongly criticised the Federal Ministry of Interior for receiving zero capital funding in 2024 and 2025, describing the situation as a “serious blow” to project delivery and institutional efficiency. Minister Olubunmi Tunji-Ojo revealed that none of the approved capital budgets were released, effectively stalling major infrastructure programmes across the ministry’s agencies, including the Nigeria Immigration Service and Nigerian Correctional Service.
Lawmakers warned that persistent delays in budget implementation weaken government institutions and urged the ministry to prioritise strategic projects to prevent abandoned initiatives nationwide.
The combined investigations underscore growing concerns over fiscal management, budget execution, and accountability, with the National Assembly pledging continuous public updates as the reviews progress.
