By Williams Amofokhai
Bola Tinubu, President of West African nation of Nigeria has vowed to end the country’s overreliance on borrowing for public spending.
The lamented that borrowing for public spending has resulted in the burden of debt servicing on the management of Nigeria’s limited government revenues.
The president spoke on Tuesday while inaugurating the Presidential Committee on Fiscal Policy and Tax Reforms, chaired by Mr. Taiwo Oyedele.
He said the committee had to improve the country’s revenue profile and business environment as the Federal Government moves to achieve an 18% Tax-to-GDP ratio within three years.
According to him, the Committee must achieve its one-year mandate, which is divided into three main areas: fiscal governance, tax reforms, and growth facilitation.
The president directed all government ministries and departments to cooperate fully with the committee towards achieving their mandate.
He told the Committee members the significance of their assignment, as his administration carries the burden of expectations from citizens who want their government to make their lives better.
”We cannot blame the people for expecting much from us. To whom much is given, much is expected. It is even more so when we campaigned on a promise of a better country anchored on our Renewed Hope Agenda. I have committed myself to use every minute I spend in this office to work to improve the quality of life of our people,” he declared.
Acknowledging Nigeria’s current international standing in the tax sector, the President said the nation is still facing challenges in areas such as ease of tax payment and its Tax-to-GDP ratio, which lags behind even Africa’s Continental average.
“Our aim is to transform the tax system to support sustainable development while achieving a minimum of 18% tax-to-GDP ratio within the next three years. Without revenue, government can not provide adequate social services to the people it is entrusted to serve.
“The Committee, in the first instance, is expected to deliver a schedule of quick reforms that can be implemented within thirty days. Critical reform measures should be recommended within six months, and full implementation will take place within one calendar year,” the President directed.
