FG Clarifies 5% Fuel Surcharge, Reaffirms Commitment to Macroeconomic Stability
By NaijaEnquirer Staff
The Federal Government has reassured Nigerians of its commitment to macroeconomic stability, private sector-led growth, and transparent fiscal management, while clarifying concerns about the 5% fuel surcharge referenced in the Nigeria Tax Administration Act, 2025 (NTA Act).
Speaking at a media briefing in Abuja, the Minister of Finance and Coordinating Minister of the Economy, Mr. Wale Edun, stressed that the fuel surcharge is not a new tax and predates the current administration. He explained it was first introduced under the Federal Roads Maintenance Agency (FERMA) Amendment Act, 2007 to fund road infrastructure, with 40% of proceeds for FERMA and 60% for State Road Maintenance Agencies.
Edun clarified that its inclusion in the 2025 NTA Act is meant to harmonise existing tax provisions into a modern legal framework, not to impose a fresh levy.
Nigeria Tax Administration Act, 2025: Transformative Tax Reform
The Minister highlighted the Act as Nigeria’s most comprehensive tax reform to date, consolidating multiple tax laws, eliminating over 50 overlapping taxes, and modernising revenue administration to simplify compliance, improve efficiency, and attract private investment.
He emphasized that the Act will take effect from January 1, 2026, allowing time for capacity building, institutional restructuring, and policy alignment. Preparations are underway to harmonize tax processes across federal agencies, design a Tax Ombudsman framework, and coordinate with subnational governments.
Prioritizing Macroeconomic Stability and Private Sector Growth
Edun reiterated President Bola Ahmed Tinubu’s economic vision, emphasizing two core priorities:
- Creating a stable macroeconomic environment to unlock investment, productivity, and job creation.
- Strengthening government savings to fund strategic investments in education, healthcare, infrastructure, and technology.
The Minister assured citizens that the government is sensitive to prevailing economic conditions and is focused on strengthening tax governance, blocking leakages, and enhancing revenue efficiency.
“Our reforms are designed to simplify taxes, strengthen compliance, and create an economy that works for everyone. Macroeconomic stability is our top priority, and every policy decision is guided by the need to ease pressures on households and businesses,” Edun stated.
Open Engagement and Inclusive Growth
Edun reaffirmed the administration’s commitment to continuous engagement with stakeholders, industry players, and the public. He assured that the Tinubu administration remains focused on fiscal transparency, sustainable growth, and inclusive prosperity.
“We are on a path of renewed stability, growing investor confidence, and accelerating momentum across key sectors. Our task is to translate these gains into tangible improvements—more jobs, higher incomes, and better public services. We remain resolute in building an economy that works for everyone,” he concluded.
