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Tag: Muda Yusuf

  • How tax administration can be successful, by Muda Yusuf

    How tax administration can be successful, by Muda Yusuf

    The success of the new tax laws will depend largely on the implementation strategy rather than the strength of their provisions, Dr Muda Yusuf, Chief Executive Officer of the Centre for the Promotion of Private Enterprise (CPPE), has said.

    Yusuf, in a statement yesterday, also listed timing and public trust as other factors for their positive outcomes. 

    With 2026 shaping up as a pre-election year, political and social caution is imperative.

    Stability, trust-building and reform credibility should take precedence over short-term enforcement optics,”  he advised.

    Yusuf said while tax reform is essential for Nigeria’s fiscal sustainability, a phased, pragmatic and socially sensitive implementation approach offers the most credible pathway to sustainable revenue growth and long-term legitimacy.

    The CPPE boss described the new tax legislations as sound, progressive and among the most ambitious fiscal restructuring efforts in recent decades.

      Pointing out that good policy designs often do not automatically translate into positive results, Yusuf noted that history shows that poorly sequenced and rigid implementation could undermine well-intentioned reforms.

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    According to him, the success or failure of the new tax regime will depend far more on how it is implemented than on the laws themselves.

    “Without careful sequencing, political sensitivity and economic realism, even well-intentioned reforms can trigger resistance, disrupt livelihoods and further erode public trust,” Yusuf said.

    The CPPE  founder stressed that tax reform should be seen as a process rather than a one-off event, noting that it must evolve with implementation feedback, economic conditions and social realities.

    He observed that the reform was unfolding under particularly delicate circumstances, as the economy is still grappling with elevated inflation, weakened purchasing power and the adjustment costs of fuel subsidy removal and foreign exchange reforms.

    Yusuf stated that households and businesses were experiencing reform fatigue, with a politically sensitive pre-election period approaching.

    He said: “In this context, expecting full and simultaneous compliance across all sectors of the economy is unrealistic.

    “A rigid  enforcement-heavy approach risks undermining reform credibility before its benefits have time to materialise.” 

    Yusuf acknowledged that the tax reform framework contained several pro-welfare provisions, including exemption of low-income earners from personal income tax and Value Added Tax (VAT) relief on basic goods and essential services such as education, healthcare and agriculture.

    He noted that small businesses were also granted relief from company income tax and VAT obligations, while incentives for priority and job-creating sectors aligned tax policy with the country’s diversification agenda.

    According to him, the rationalisation of multiple taxes, repeal of obsolete laws and improved coherence of the tax system address long-standing private sector concerns and could enhance investor confidence if properly implemented.

    However, Yusuf said public resistance to the reform was rooted in lived experience, as many Nigerians associated past reforms with rising living costs and declining welfare without corresponding improvements in public services.

    He said a weak social contract continues to undermine confidence that additional tax revenues would be transparently and efficiently utilised.

    The CPPE boss also warned that the scale of Nigeria’s informal economy could not be ignored in tax reform implementation.

    Yusuf said Nigeria had an estimated 40 million micro, small and nano-enterprises, with over 80 per cent operating informally and accounting for more than 90 per cent of jobs.

    He noted that most informal operators lacked proper record-keeping systems, tax knowledge, digital capacity and compliance structures, adding that enforcement-heavy measures could criminalise informality rather than encourage gradual formalisation.

    The Economist identified some policy flashpoints fueling anxiety, including mandatory reporting of bank transactions of N25 million and above, which he said could expose high-turnover, low-margin businesses to undue scrutiny.

    Yusuf also expressed concern over the proposed increase in capital gains tax from 10 per cent to 30 per cent and the N500,000 annual rent relief cap, which he said were misaligned with prevailing economic realities.

    He further raised concerns about the wide enforcement powers and severity of penalties embedded in the tax laws.

    Yusuf advocated a strategic implementation framework anchored on revenue efficiency rather than blanket enforcement.

    He said empirical evidence showed that a small proportion of taxpayers accounted for the bulk of tax revenue, noting that roughly 20 per cent of businesses generated close to 90 per cent of tax receipts.

    According to him, concentrating enforcement on large corporations, established SMEs and high-net-worth individuals would deliver significant revenue without destabilising livelihoods.

    He advised tax authorities to prioritise the formal sector in the short to medium term, while integrating the informal sector gradually through incentives, sustained tax education and simplified compliance tools.

    Yusuf said that while tax reform was essential for Nigeria’s fiscal sustainability, a phased, pragmatic and socially sensitive implementation approach offered the most credible pathway to sustainable revenue growth and long-term legitimacy.

    Tax Ombudsman to defend taxpayers against excessive billings

     The Federal Government has authorised the Tax Ombudsman to defend taxpayers against unlawful, excessive tax billings or other related complaints at zero cost.

    A  599-page Nigeria Tax Reform Law official gazette document reviewed by The Nation at the weekend, the Office of the Tax Ombudsman will be funded through appropriation by the National Assembly.

    According to the official gazette, the Office of the   Ombudsman will serve as an independent and impartial arbiter that will review and resolve complaints relating to tax, levy, regulatory fee and charges, customs duty or excise matters for taxpayers.

    It said the  Ombudsman will conduct enquiries, institute legal proceedings on behalf of taxpayers and act as a watchdog against arbitrary tax policy.

    The   Ombudsman will also review complaints against tax officials and authorities and resolve it through mediation or conciliation by adopting informal, fair and cost-effective procedures.

    It will also receive and investigate complaints lodged by taxpayers regarding the actions or decisions of the tax authorities, agencies or their officials.

    The  Tax Ombudsman office is authorised to enter and inspect any premises or place where any tax authority, agency or official performs any function or duty under any law imposing taxes, levies, or charges for the purpose of carrying out an investigation.

    The new tax law authorises the  Ombudsman to invite and examine any person who may have information or evidence relating to a complaint or an investigation and make recommendations of its findings to the revenue authorities and other government agencies on matters relating to taxes, levies, charges and fees, for implementation.

    The office can also institute legal proceedings on behalf of a taxpayer, provide information and raise awareness of taxpayers’ rights and obligations.

    It can also identify and review systemic and emerging issues on fiscal policies as well as their impact on the tax system, in collaboration with the relevant agencies.

    Overall, the office is to serve as a watchdog against any arbitrary fiscal policy of the government or by any of its agencies and report such policy to the National Assembly.

    Tax Ombudsman is also to disclose any conflict of interest in relation to any complaint or investigation, and an officer so conflicted shall refrain from dealing with such complaint or investigation and not make a secret profit in the course of discharging official duties.

  • How to achieve effective power reforms, by Yusuf

    How to achieve effective power reforms, by Yusuf

    Chief Executive Officer, Centre for the Promotion of Private Enterprise (CPPE), Dr. Muda Yusuf, yesterday said the nation’s power sector reform remains a long-term and incremental process rather than a quick fix.

    He said the sector’s complexity, political economy constraints, and institutional weaknesses make progress gradual rather than instant.

    According to him, without decisive action to address structural inefficiencies, improve governance, and ensure fiscal discipline, the current trajectory will remain unsustainable.

    He noted that despite multiple reform efforts over the years, the sector continues to face deep structural, financial, and governance challenges.

    He said these challenges were multi-dimensional, spanning political economy constraints, tariff distortions, weak investor capacity, transmission bottlenecks, and a persistent liquidity crisis across the value chain.

    He added that the inability to implement a fully cost-reflective tariff regime—largely due to social and political sensitivities following recent macroeconomic reforms—has entrenched subsidy dependence and widened the sector’s financing gap, thereby making government intervention to become unavoidable in the short term to prevent system collapse and sustain electricity.

    He listed recent macroeconomic reforms, including foreign exchange unification and fuel subsidy removal, to have further complicated the reform environment by heightening cost-of-living pressures and intensifying resistance to tariff adjustments in the power sector.

     “However, without cost-reflective pricing, the sector is unable to generate sufficient liquidity to sustain operations or attract new investment. The resulting subsidy burden has forced government to repeatedly intervene financially, effectively transferring inefficiencies and revenue shortfalls onto the public balance sheet,” Yusuf said.

    According to him, the current trajectory, characterised by rising sector debt currently at about N4 trillion, is fiscally unsustainable without deeper structural corrections, improved transparency, and gradual but credible reform implementation.

    He advocated for a balanced approach-one that combines short-term government support with medium- to long-term structural reform.  This, he noted, is essential to building a financially viable, reliable, and inclusive power sector that can support Nigeria’s economic growth and development.

    He pointed out that the current financing model for the sector is not sustainable based on the sector’s liabilities which have risen to nearly N4 trillion and continue to grow.

    He stressed that there is an urgent need to ensure that all outstanding claims are properly verified; subjected to rigorous audit and managed transparently and credibly.

     “Nigeria’s experience with fuel subsidy regimes demonstrates the vulnerability of subsidy systems to abuse and malpractice. Strong oversight and accountability mechanisms are therefore essential to prevent similar outcomes in the power sector,” Yusuf said.

    He noted that one of the major problems that has continued to weigh on the finances of the sector is the lack of a cost reflective tariff regime.

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    He said government should implement a phased and predictable transition toward cost-reflective pricing, with targeted social protection for vulnerable consumers.

    He said the phased transition should be backed by a strong governance and accountability regime which will be targeted at improving transparency in subsidy management, debt verification, and financial settlements.

    He noted the urgency in addressing the distribution sector weaknesses by enforcing performance benchmarks for distribution companies, including recapitalisation, technical upgrades, and loss reduction.

    He also canvassed for a reform in  transmission management by exploring alternative management or concession models for TCN to improve efficiency and investment.

    “It is important to support decentralisation and renewables; encourage state-level initiatives, independent power projects, and renewable energy adoption to reduce pressure on the national grid. Also, we need to limit fiscal exposure as government financial support should be clearly time-bound and linked to measurable reform milestones,” Yusuf said.

  • Yusuf: after reforms’ gains, focus should shift to real economic benefits for people

    Yusuf: after reforms’ gains, focus should shift to real economic benefits for people

    Nigeria’s fiscal and tax reforms have delivered important progress in expanding revenue and improving fiscal sustainability, but state governments must show equal fiscal discipline to ensure the benefits reach the

    Chief Executive, Centre for the Promotion for Private Enterprise (CPPE), Dr. Muda Yusuf, in a policy review released yesterday, acknowledged that the country’s fiscal and tax reforms in the past two years have delivered substantial gains and stability.

    He outlined that the government’s focus must now be on deepening revenue diversification, enhancing spending efficiency and aligning fiscal outcomes with real economic performance.

    According to him, with prudent management, stakeholder collaboration, and social sensitivity, Nigeria can translate the gains of the past two years into solid foundation for a more resilient, productive and inclusive economy.

    He noted that two landmark policy measures, notably the removal of fuel subsidy and the unification of exchange rates, have significantly boosted government revenues, expanded fiscal space and improved the capacity for public investment.

    He pointed out that while the country has been undergoing major fiscal transition aimed at strengthening revenue mobilisation, fiscal sustainability and economic resilience, the dividends are already visible.

    He noted that collections from Value Added Tax (VAT) and Company Income Tax (CIT) have increased, reflecting stronger compliance and a gradual recovery in economic activities while the subnational governments are reporting higher revenues and increased allocations to agriculture, infrastructure, and social development.

    He said: “Fuel subsidy removal freed trillions of naira in fiscal resources; exchange rate unification boosted naira-denominated oil revenues; VAT and CIT collections improved through enhanced compliance and enforcement. Despite these advances, the real fiscal impact is tempered by high inflation and exchange rate pressures. It is, therefore, important to assess fiscal outcomes in both nominal and real terms to maintain credible expectations and policy balance”.

    He said that that recent tax measures have introduced several positive features into the economy including reliefs for producers and priority sectors; higher exemption thresholds for low-income earners and small businesses; zero-rated VAT on essential goods such as food, pharmaceuticals, and educational materials.

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    He, however, said that private sector concerns remain over compliance costs, the increase in capital gains tax from 10 per cent to 30 per cent and possible welfare implications of personal income tax changes. He therefore, appealed that effective implementation should be guided by stakeholder consultation, flexibility and evidence-based adjustments.

    The CPPE boss regretted that despite Nigeria’s large economy and population, the country’s budget remains relatively small when compared to other economies with less population.

    A 2025 comparison of national budgets in U.S. dollar terms highlights Nigeria’s fiscal limitations. In the current fiscal year, Nigeria’s $36.7 billion budget is dwarfed by South Africa’s $141 billion; Algeria’s $126 billion; Egypt’s $91 billion and that of Morocco which is $73 billion.

    He said: “This limits fiscal capacity for transformative investments in infrastructure, human capital and social welfare. The situation underscores the urgency of revenue diversification, public-private partnerships, and enhanced non-tax revenue mobilisation”.

    He outlined that with limited fiscal space, spending efficiency is paramount. Priority areas it noted should include infrastructure comprising roads, power, ports and digital infrastructure, with the aim to reduce business costs and improve competitiveness; productivity, to be targeted at supporting manufacturing, MSMEs, and technology-driven enterprises; food security, that is investment in agriculture, storage, irrigation and logistics to stabilise prices and supply; security, strengthening of law enforcement, intelligence, and military capability and human capital through increased investment in health and education to build a skilled and productive workforce.

    “Governments at all levels should minimise waste, link spending to measurable outcomes, and comply strictly with fiscal responsibility benchmarks,” Yusuf said.

    He pointed out that state governments play a pivotal role in national fiscal sustainability and given that many of these subnationals have benefited from higher federal allocations, improved internally generated revenue (IGR) and expanded investments in key sectors there is a need for them to align fiscal priorities with local economic needs — supported by transparency and accountability, to promote balanced national development and reduce dependence on federal transfers.

     “The long-standing five per cent fuel levy for road maintenance, legislated since 2007, has never been implemented due to affordability and social concerns. While its fiscal rationale is clear, activation should consider economic conditions, timing, and social welfare implications to ensure broad acceptance and minimal disruption,” Yusuf said.

    He therefore recommended that there is a need to adjust fiscal assessments for inflation and exchange rate effects and communicate outcomes transparently.

    He said: “There is also the need to broaden and diversify the revenue base by improving tax efficiency, expand the tax net and optimise non-tax revenues and national assets. Also important is the need to prioritise high-impact spending by focusing on infrastructure, food systems, productivity, and security. Strengthening subnational fiscal capacity by supporting fiscal autonomy, accountability and efficient resource use in states; implementation of tax reforms with flexibility by maintaining continuous dialogue with stakeholders and refine policies as needed and also by reinforcing fiscal discipline by ensuring strict adherence to fiscal responsibility frameworks across all levels of government”.

  • Fiscal measures will bring long-term benefits, says Yusuf

    Fiscal measures will bring long-term benefits, says Yusuf

    Chief Executive Officer, Centre for the Promotion of Private Enterprise (CPPE), Dr Muda Yusuf, yesterday, has said cumulative effect of fiscal measures being taken by the government would bring long-term benefits to the citizenry.

    He said that rather than building high expectations on immediate impact on prices, the benefits of the fiscal measures, including the changes in tax laws, could come in the medium to long-term.

    According to him, while there could some immediate benefits, Nigerians should lower expectations of an immediate reduction in the prices of essential goods, despite the recent fiscal measures introduced to ease inflationary pressures.

    Commenting on the federal government’s new tax reliefs, including the removal of Value Added Tax (VAT) on basic goods and services like education, rent, and healthcare, Yusuf during an interview on National TV, said while the policies offer relief, several other factors continue to drive inflation.

     “We need to manage the expectation when we talk about the fact that prices of these things will come down. Because there are quite a number of factors driving inflation,” he cautioned.

    The Federal Government recently announced a number of pro-business measures including the lifting of compliance burdens for small businesses and VAT exemptions on essential goods. Yusuf praised the initiatives but urged caution regarding their immediate impact.

    He said: “I think it’s a good relief. And going forward, I’m sure that progressively we may have to even increase it. Because a 100 million or 50 million turnover business is nothing, especially in this inflationary environment.”

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    The economist argued that due to rising costs of diesel and logistics, a more realistic turnover benchmark for categorising small businesses should be closer to N200 million, rather than the proposed N50–100 million.

    He also commended the VAT exemption on essentials, acknowledging the government’s effort to ease consumer burden. However, he pointed out that some of these exemptions were already in place.

     “Most of these items—education, educational materials, pharmaceutical products, already enjoyed some level of tax relief, especially under the president’s earlier palliative measures,” he noted.

    Nevertheless, Yusuf said the cumulative effect of these fiscal measures could bring long-term benefits, particularly for producers of essential goods.

     “Consumption of these items takes a whole lot from citizens’ income—close to 70 per cent or more. So this gives a lot of relief to producers, and we hope they’ll be able to translate that into price reductions,” he stated.

    Still, he maintained that cost drivers beyond taxation, such as energy costs, foreign exchange volatility, and supply chain inefficiencies, must also be addressed to make any sustained impact on inflation.

  • Manage expectations on falling prices, Yusuf tells Nigerians amid new tax regime

    Manage expectations on falling prices, Yusuf tells Nigerians amid new tax regime

    Chief Executive Officer, Centre for the Promotion of Private Enterprise (CPPE), Dr Muda Yusuf, has advised Nigerians to lower expectations of an immediate reduction in the prices of essential goods, despite the recent fiscal measures introduced to ease inflationary pressures.

    Commenting on the federal government’s new tax reliefs, including the removal of Value Added Tax (VAT) on basic goods and services like education, rent, and healthcare, Yusuf, during an interview on National TV, said that while the policies offer relief, several other factors continue to drive inflation.

    “We need to manage the expectations when we talk about the fact that prices of these things will come down. Because there are quite several factors driving inflation,” he cautioned.

    The federal government recently announced several pro-business measures, including the lifting of compliance burdens for small businesses and VAT exemptions on essential goods. Yusuf praised the initiatives but urged caution regarding their immediate impact.

    He said, “I think it’s a good relief. And going forward, I’m sure that progressively we may have to even increase it. Because a 100 million or 50 million turnover business is nothing, especially in this inflationary environment.”

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    The economist argued that due to rising costs of diesel and logistics, a more realistic turnover benchmark for categorising small businesses should be closer to N200 million, rather than the proposed N50–100 million.

    He also commended the VAT exemption on essentials, acknowledging the government’s effort to ease consumer burden. However, he pointed out that some of these exemptions were already in place.

    “Most of these items, education, educational materials, pharmaceutical products, already enjoyed some level of tax relief, especially under the president’s earlier palliative measures,” he noted.

    Nevertheless, Yusuf said the cumulative effect of these fiscal measures could bring long-term benefits, particularly for producers of essential goods.

    “Consumption of these items takes a whole lot from citizens’ income, close to 70 per cent or more. So this gives a lot of relief to producers, and we hope they’ll be able to translate that into price reductions,” he stated.

    Still, he maintained that cost drivers beyond taxation, such as energy costs, foreign exchange volatility, and supply chain inefficiencies, must also be addressed to make any sustained impact on inflation.

  • Muda seeks end to interest rate hikes

    Muda seeks end to interest rate hikes

    Chief Executive Officer, the Centre for the Promotion of Private Enterprise (CPPE) Dr. Muda Yusuf has called on the Monetary Policy Committee (MPC) of the Central Bank of Nigeria (CBN) to stop further increases in interest rates.

    He explained that pausing interest rate hikes would provide an opportunity for fiscal policy measures to address inflation.

    The 299th MPC meeting of the CBN is scheduled for tomorrow (Wednesday).

    Yusuf expressed concerns that additional interest rate hikes would have adverse effects on the manufacturing and real sectors.

     “My expectation from the MPC meeting is to maintain a hold, however, my preference is to begin relaxing some of the tightening measures due to the excessively high interest rates,” Yusuf stated.

    He said: “I do not anticipate further hikes in the Monetary Policy Rate (MPR) or the Cash Reserve Ratio (CRR). I believe it is time to halt these hikes and allow fiscal policy measures to tackle inflation.”

    He stressed that a significant portion of inflation is driven by supply-side issues, particularly energy, production, and import costs.

    He harped on the important role of fiscal authorities in moderating these costs, as the current interest rate is hindering investment, job creation, and entrepreneurship.

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    According to him in the worst-case scenario, there should be a halt in rate hikes. He stated that however, his preference is to begin relaxing some of these tightening measures to provide relief to the real economy.

    Furthermore, he emphasized the need to enhance fiscal policy interventions, particularly regarding energy, import, and transportation costs, which are closely linked to energy costs.

    He expressed optimism about the global outlook for the energy sector due to policies of U.S. President Donald Trump.

    Muda noted that the outlook for energy costs appears more favorable for businesses, although it may have negative implications for revenue.

    He pointed out that a potentially positive global outlook for energy costs, partly due to U.S. policies, could lead to decreases in the prices of crude oil, PMS, diesel, and gas, especially with ongoing efforts towards peace in Ukraine and Russia.

     He also underscored the importance of the Nigerian government providing incentives for the real economy to lower costs.

    “We should also manage our fiscal operations well to avoid overheating the economy from the fiscal side,” he added.

    Nigeria’s current interest rate stands at 27.5 per cent, while the inflation rate is 34.6 per cent.

    The MPC meeting is a crucial event that shapes Nigeria’s economic outlook, influencing decisions on interest rates, inflation control, and overall macroeconomic stability.

    A recent report from the Central Bank of Nigeria indicated that Nigeria’s economic activities expanded for the second consecutive month.

    The composite Purchasing Managers’ Index (PMI) for January 2025, at 50.2 index points, signaled an expansion in economic activities for the second straight month.

    Three sectors—industry, services, and agriculture—stood out in the report. The Industry Sector improved from a stationary position in December 2024 to an expansionary level in January 2025.

    Conversely, the Services Sector index indicated a contraction in economic activities for the month, while the Agriculture Sector registered expansion for the sixth consecutive month.

    The breakdown of the index showed that composite output, new orders, and employment levels recorded growth at 50.9, 50.2, and 50.2 points, respectively, reflecting overall expansion during the review period.

    However, the composite stock of raw materials declined to 49.8 points, and the suppliers’ delivery time slowed further to 49.6 index points, suggesting delays in supply chains.

  • ‘Replicate pharmaceutical fiscal measures on other sectors’

    ‘Replicate pharmaceutical fiscal measures on other sectors’

    The Federal Government should replicate the recent fiscal measures targeted at the pharmaceutical sector in all other segments of the real sector in order to jumpstart economic growth.

    Chief Executive Officer, Centre for the Promotion of Private Enterprise (CPPE), Dr. Muda Yusuf, yesterday said fiscal policy measures have much better prospects of addressing supply side challenges in the economy, if well targeted.

    He noted that boosting production is very vital to fixing the current inflationary pressures, driven largely by supply side challenges in the economy.

    According to him, fiscal policy measures are potent tools for the realization of this objective.

    “We commend the recent Executive Order removing import duties, value added tax (VAT), Excise duty on pharmaceutical raw materials, intermediate products, medical diagnostic equipment and machineries.  These fiscal policy measures would boost domestic production of pharmaceutical products, reduce the cost of medications, improve access to healthcare and impact positively on the well-being of citizens.  It would also revitalize our pharmaceutical industries and create more jobs.

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    “We recommend that these fiscal policy measures should be replicated to boost production in other segments of the real sector.  We need similar executive orders for agriculture, agrochemicals and agro-allied industries to curb the surging food inflation; we need similar intervention in the energy sector, to promote energy security and incentivize private investments in the sector; there is need for similar support for iron and steel sector to aid the construction industry and reduce construction costs for housing and infrastructure.

    “We also need fiscal policy protection to support domestic investments in petroleum refineries to conserve foreign exchange, create jobs, and deepen backward integration,” Yusuf said.

    He outlined that there is a groundswell of economic nationalism globally and Nigeria should respond by strengthening its domestic production capabilities across all sectors.

  • LCCI praises Buhari for declining assent to NHF Bill

    The Lagos Chamber of Commerce and Industry (LCCI) has hailed President Muhammadu Buhari for not signing the National Housing Fund (NHF) Bill.

    The chamber said the bill would have caused more problems for citizens.

    LCCI Director-General Muda Yusuf gave the commendation in an interview with The Nation in Lagos.

    President Buhari, had on April 2, declined assent to the National Housing Fund Bill alongside seven others passed by the National Assembly.

    Yusuf said the bill would have increased cost of building materials thus widening the country’s infrastructural deficit, led to increase in cost of doing business and inflict hardship on workers.

    He said  what the government should do was to evolve a mechanism that would reduce the cost of building materials to enable more Nigerians become empowered to construct buildings.

    “The government should be more concerned on how to bring down the cost of steel, cement and make land easily accessible and affordable, and also promote the use of local materials for construction,” he said.

    He urged the Nigerian Building and Road Research Institute (NBRRI) to evolve more innovative alternative and sustainable building materials for housing development.

    The LCCI chief said the use of local building materials would reduce the cost of construction, boost productivity in the building industry, and reduce environmental impact.

    Yusuf urged the research institute to publicise and commercialise its prototypes for more acceptability by Nigerians and to bridge the nation’s housing deficits

  • LCCI decry exclusion of textile from Forex

    The Lagos Chamber of Commerce and Industry (LCCI) says the exclusion of all forms of textile materials from the foreign exchange market pose a threat to the N5 trillion fashion industry.

    Muda Yusuf, Director-General of LCCI, who disclosed this in a statement on Sunday in Lagos, noted that tailoring, accessories and garment industry would suffer a setback.

    Yusuf said that the industry which had created over 500,000 jobs was one of the fastest growing industries and had brought amazing opportunities for many young Nigerians to express their creativity and innovation.

    “The industry provides significant value addition to fabrics, whether imported or domestically produced, and the policy contemplation of the CBN will put all of these at risk,” he said.

    The News Agency of Nigeria (NAN) recalls that the Central Bank of Nigeria (CBN) on March 5, added all forms of textile materials to its FOREX restriction list to rejuvenate the textile industry and ensure that the needed growth was actualised.

    Yusuf noted that the fashion industry responded to changing tastes and trends in the global world.

    According to him, currently, the range of fabrics produced by local textile industry cannot support the fashion industry in terms of the quantity and quality.

    “Today, Nigeria is clearly the leader in Africa as far as the fashion industry is concerned.

    “This vibrant industry should not be sacrificed on the altar of textile industry re-generation.

    “This submission is not to diminish the importance of textile industries in any way or the significance of industrialisation. It is to underscore the importance of a strategic approach to industrialisation,” he said.

    Yusuf noted that the fundamental issues was to address infrastructure challenges, adding that the textile industry needed to be saved from the excruciating burden of high operating and production costs.

    According to him, as the country progresses to the next level of the Buhari administration, policy coordination and collaboration among the economic ministries and agencies is imperative.

    “There should be collaboration and coordination between the CBN, the Finance Ministry, Budget and Planning and Trade and Investment on trade policy issues.

    “The boundaries of monetary policy need to be properly defined. Exclusion of sectors from the forex market is not a monetary policy issue. It is trade policy matter.

    “Monetary policy is about managing liquidity to influence the direction of credit, exchange rate and inflation.

    “Trade policy formulation is not within the remit of the CBN. It is an inter-ministerial responsibility involving the Finance, Budget and Planning, Industry, Trade and Investment Ministries,” he said.

    He noted that the fiscal policy document clearly outlined import and export prohibition lists while the tariff book defined the various tariff measures applicable across sectors and range of products with relevant Harmonised System (HS) codes.

    He said that the private sector would like to see minimum policy shocks as the President Buhari administration stepped into the next level. (NAN)

  • Fed govt launches mobile app to boost ease of doing business

    The Federal Government through the Presidential Enabling Business Environment Council (PEBEC) on Thursday launched a new Ease of Doing Business (EoDB) Mobile App, Nigeria’s official public service feedback and complaints platform for business environment reforms.

    The web-based portal or platform will enable the PEBEC office resolve issues and complaints encountered by private sector operators with government’s Ministries, Departments and Agencies (MDAs) within 72 hours of lodging same.

    President Muhammadu Buhari established thee PEBEC in July 2016 with the aim of eliminating the delays and restrictions that come with doing business in Nigeria thereby, making the country a place to start and grow a business.

    On May 18, 2017, the Vice President, Prof. Yemi Osinbajo, signed the first executive order (EO1) to promote transparency and efficiency in the business environment. It was aimed at removing the hurdles that stand in the way of a bigger and more productive private sector.

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    The launch of the (EoDB) Mobile App in Lagos, on Thursday, was therefore, a step forward in the Federal Government’s resolve to make the business environment conducive and also boost domestic and foreign investments.

    At the unveiling of the web-based application, the Senior Special Assistant to the President on Industry, Trade and Investment, Dr. Jumoke Oduwole, explained that while the EO1 was all on transparency and efficiency, the app is the other side of the coin, where the private

    sector gets to see what is going on from their end.

    She described the EoDB Mobile App as revolutionary, pointing out that Nigeria has never walked down this road before. “Collaboration has been the cornerstone of this initiative,” she said, adding that PEBEC engaged extensively with various stakeholders.

    While noting that the initiative was aimed at making sure that public and civil servants adhere to Service Level Agreements (SLAs), Oduwole said the PEBEC has spent a lot of time building capacity to ensure that feedbacks and complaints from the private sector are resolved within the 72 hours approved by the president. The Minister of Industry, Trade and Investment, Dr. Okechukwu Enelamah, said the launch of the web-based app was in line with the Federal Government’s commitment to being a business enabler and facilitator. “It’s about energizing businesses and making the business environment conducive,” he said.

    He said the app, which is now available for download, is already on Goodle Store, while efforts are being made to also put it on Apple Play Store. He also assured that complaints made on the new app will be quickly resolved, urging users to download it on their mobile

    phones. The Director General, Lagos Chamber of Commerce and Industry (LCCI), Mr. Muda Yusuf, described the app as “A game changer and one of the best things to happen to this country.”

    He said although, the PEBEC office has been doing a lot, it’s still work in progress. “There is still a whole lot more to be done, despite a few progresses that have been made,” he said.

    Yusuf, who spoke during a panel discussion to discuss issues bordering on transparency and efficiency of service delivery in Nigeria, observed, for instance, that there is need for the World Bank to review the indicators for composition of the EoDB Index to reflect the reality of each country.

    He said countries vary in their peculiarities and challenges; that some of the indicators in the EoDB composition do not properly capture the critical variables in the Nigerian environment such as power, transportation and security.

    “We need to address all these other variables that are not on the list of the EoDB parameters,”

    Yusuf said, pointed out, for instance, that the present indicators are about construction permit, ease of starting business, credit, reforms, trading across borders, among others.

    The launch of the Mobile App was the high point of the Third Regulatory Convention organised by The Convention on Business Integrity/The Integrity Organisation in collaboration with ActionAid, Nigerian Economic Summit Group, LCCI and Business Day Newspapers.

    It was held in partnership with the Enabling Business Environment Secretariat (EBES) with the theme “Improving Transparency and Ease of Doing Business in Nigeria.”