CISED Africa

26/06/2025

Oerhauling Nigeria's complex tax system with the signing into law the Four Tax Bills:

1. Nigeria Tax Bill: Introduces a progressive tax system, exempting individuals earning below ₦800,000 annually from paying tax. Small businesses with annual revenues under ₦25 million will also benefit.

2. Nigeria Tax Administration Bill: Simplifies tax payment processes and reduces compliance burdens through a unified platform for filing and paying taxes.

3. Nigeria Revenue Service (Establishment) Bill: Establishes the Nigeria Revenue Service (NRS), replacing the Federal Inland Revenue Service (FIRS). NRS will collect revenues previously handled by other agencies.

4. Joint Revenue Board (Establishment) Bill; Aims to enhance revenue collection and eliminate overlaps between tax agencies.

Implications on Nigeria's Economy:

a. Increased Revenue Collection: The laws aim to increase revenue without raising tax rates by closing loopholes and improving tax administration.

b. Improved Business Environment: Simplified tax regimes and reduced compliance burdens are expected to encourage formalization and boost economic growth.

c. Investment Attraction: The reforms are designed to create a more conducive environment for domestic and foreign investment.

Implications on Citizens' Lives:

i. Tax Relief: Individuals earning below ₦800,000 annually are exempt from paying tax, providing relief to low-income earners. For instance, a teacher in Itsukwi Community in Etsako East Local Government Area of Edo State earning ₦600,000 annually. Previously, she paid some amount of tax. With the new law, individuals earning below ₦800,000 are exempt from paying tax. Hence, the teacher's take-home pay increases, providing her with more disposable income. Similarly, Learngency Ltd is an edtech startup with annual revenue of ₦20 million. Previously, he paid taxes on his revenue. With the new law, small businesses like Learngency with annual revenues under ₦25 million are exempt from certain taxes. Learngency can now reinvest its savings in his business, potentially expanding and creating jobs.

ii. Progressive Tax System: A 25% personal income tax applies only to individuals earning above ₦50 million annually. Ahmed is a high-income earner with an annual income of ₦60 million. With the new progressive tax system, he pays a higher tax rate (25%) only on the amount above ₦50 million. This means Ahmed's tax burden increases, but only on the amount above the threshold.

iii. Simplified Tax Payment: A unified platform for filing and paying taxes will reduce compliance burdens for individuals and businesses. Sarah owns a medium-sized business. Previously, she had to file and pay taxes through multiple platforms, which was time-consuming. With the new unified tax platform, Sarah can now easily file and pay taxes online, reducing compliance burdens and allowing her to focus on growing her business.

President Bola Tinubu has signed into law four tax reform bills on key areas of Nigeria’s fiscal and revenue framework. Tinubu signed the bills at a

21/06/2025

Reimagining Nigeria's Future: Harnessing the Demographic Dividend of Youth-Led Transformation

Discover how Nigeria's youthful population can be a driving force for national development and transformation. This insightful piece explores the potential of youth-led initiatives and policies to unlock the country's future growth and prosperity.

Read the full article here: https://eplf.thebridgeleadership.org/reimagining-nigerias-future-harnessing-the-demographic-dividend-of-youth-led-transformation/

Credit: Kelly-Daniel Oshiogwemue

An Article by Kelly-Daniel Oshiogwemue ; 2025 EPLF Fellow Standing at the precipice of an extraordinary transformation with about 70% of its 220 million citizens under age 30, Nigeria commands Africa's largest youth population; a demographic dividend that over all propels nations into unprecedented....

06/06/2025

The Nigerian government, under President Bola Tinubu, has launched a significant health sector reform initiative, securing over $2.2 billion in funding commitments through the Nigeria Health Sector Renewal Investment Initiative. This initiative, launched in December 2023, aims to transform the country's healthcare system by renovating over 17,000 primary health centers, training 120,000 frontline health workers, and doubling national health insurance coverage within three years.

The Nigeria Health Sector Renewal Investment Initiative is a comprehensive reform effort designed to address the country's healthcare challenges. With a focus on improving healthcare infrastructure, workforce capacity, and insurance coverage, this initiative has the potential to significantly enhance the overall quality of healthcare services in Nigeria.

Short-term Implications:

1. Improved Healthcare Infrastructure: The renovation of primary health centers will provide citizens with better access to quality healthcare services, particularly in rural areas.
2. Enhanced Workforce Capacity: Training 120,000 frontline health workers will increase the capacity of healthcare professionals, enabling them to provide more effective care to patients.
3. Increased Health Insurance Coverage: Doubling national health insurance coverage will reduce out-of-pocket expenses for citizens, making healthcare more affordable and accessible.

Long-term Implications:

1. Reduced Medical Tourism: By improving healthcare infrastructure and services, Nigeria can reduce the number of citizens seeking medical treatment abroad, thereby conserving foreign exchange and promoting economic growth.
2. Improved Health Outcomes: Enhanced healthcare services and increased access to health insurance coverage will lead to better health outcomes, reduced morbidity, and mortality rates.
3. Economic Benefits: A healthier population will contribute to increased productivity, economic growth, and development, ultimately improving the overall quality of life for Nigerian citizens.

Overall, the Nigeria Health Sector Renewal Investment Initiative has the potential to transform the country's healthcare system, improving access to quality healthcare services, reducing healthcare costs, and promoting economic growth. With effective implementation, this initiative can have a lasting impact on the health and well-being of Nigerian citizens.

President Bola Tinubu yesterday, officially inaugurated the African Medical Centre of Excellence (AMCE) in Abuja, describing the project as a monument to African resilience and innovation, and a bold step towards Nigeria’s emergence as a global healthcare hub.

01/06/2025

Repeated Tariff Hikes: A Futile Quest for Reliable Power Supply in Nigeria

The recent tariff hike in Nigeria's power sector has sparked widespread debate and frustration among consumers. This is not an isolated incident, but rather a recurring theme in the country's quest for reliable power supply. Despite repeated tariff increases, Nigerians continue to endure the agony of inadequate power supply, leaving many to wonder if the solution lies in hiking tariffs or fixing the underlying issues plaguing the sector.

The Nigerian Electricity Regulatory Commission (NERC) has consistently raised tariffs, citing the need to ensure the financial viability of power distribution companies (DisCos). However, the expected improvement in power supply has not materialized. Instead, consumers are left to bear the brunt of increased tariffs without commensurate service delivery. This pattern of disappointment has eroded trust in the system, with many questioning the efficacy of tariff hikes as a solution to Nigeria's power woes.

A comparative analysis of tariff hikes and power supply trends reveals a stark disconnect. While tariffs have increased significantly over the years, power supply has not improved proportionally. In fact, many Nigerians still endure frequent power outages, with some areas receiving as little as 4-6 hours of electricity per day. This raises questions about the effectiveness of tariff hikes in addressing the fundamental issues plaguing the power sector.

The root causes of Nigeria's power woes lie in the sector's infrastructure and management. Aging infrastructure, inadequate maintenance, and inefficient distribution systems all contribute to the unreliable power supply. Moreover, the sector's management has been plagued by corruption, inefficiency, and lack of transparency. Until these underlying issues are addressed, tariff hikes will continue to be a futile exercise.

Rather than relying solely on tariff hikes, the government and power sector stakeholders must prioritize reform. This includes investing in infrastructure, improving management practices, and enhancing transparency and accountability. The government should also consider implementing policies that promote private sector participation, encourage investment in renewable energy, and enhance the overall efficiency of the power sector.

In conclusion, the repeated tariff hikes in Nigeria's power sector, without commensurate improvement in power supply, are a clear indication that the current approach is flawed. Rather than relying on tariff increases, the government and power sector stakeholders must prioritize reform and address the underlying issues plaguing the sector. Only then can Nigerians expect to enjoy reliable power supply and value for their hard-earned money. The government must take a more holistic approach to solving the power crisis, rather than relying on quick fixes that only serve to further burden consumers.

As Nigerians continue to grapple with the problem of power deficit and its attendant drain on the economy, Festus Akanbi captures the pain of Nigerians who feel abandoned in the face of the poor power supply which cannot justify the repeated tariff hike in the power sector

01/06/2025

Expert Opinion on the New Policy for the Nigeria Oil Sector

The Nigerian government's recent announcement of fresh incentives for the oil sector, amidst new $8 billion investments, is a strategic move aimed at revitalizing the industry. While the policy has the potential to drive economic growth, promote sustainability, and increase local participation, it is crucial to consider the citizens' concerns about its impact on their livelihoods.

Balancing Economic Growth and Social Welfare:

The policy's focus on attracting investments and promoting local content is expected to stimulate economic growth and development. The $8 billion investments announced will likely lead to increased economic activity, job creation, and government revenue. However, the citizens' concerns about potential negative impacts, such as increased costs of living and job losses, cannot be ignored. The government must strike a balance between economic growth and social welfare, ensuring that the policy benefits all stakeholders.

Mitigating Negative Impacts:

To mitigate the negative impacts of the policy, the government should consider implementing measures such as gradual implementation, social protection programs, and environmental regulations. Phasing in the policy changes will allow citizens to adjust and minimize disruptions. Social protection programs will support vulnerable populations affected by the policy changes, while environmental regulations will prevent degradation and ensure sustainable practices.

Encouraging Economic Diversification:

The policy's focus on the oil sector should not overshadow the need for economic diversification. Encouraging diversification will reduce dependence on oil and promote sustainable development in other sectors like agriculture and solid minerals. This will not only boost economic growth but also create new opportunities for citizens and reduce the country's vulnerability to fluctuations in the global oil market.

Effective Implementation and Monitoring:

The success of the new policy will depend on effective implementation and monitoring. The government must ensure that the policy is implemented in a transparent and accountable manner, with regular monitoring and evaluation to assess its impact. This will enable the government to make adjustments and address any challenges that arise, ensuring that the policy achieves its intended objectives.

In conclusion, the new policy for the Nigeria oil sector has the potential to drive economic growth, promote sustainability, and increase local participation. However, it is crucial to consider the citizens' concerns and implement measures to mitigate negative impacts. With effective implementation and monitoring, the policy can achieve its objectives and contribute to the development of a robust and sustainable oil industry that benefits all Nigerians.

As a follow-up to his recent efforts to raise crude oil production and attract investment to the oil and gas sector, President Bola Tinubu has issued a new Executive Order which seeks to lower project costs, attract more investors, and enhance revenues from operations in the sector.

06/05/2025

Rethinking Education: The Need for Curriculum Reform in Light of JAMB's Poor Performance

The recent release of the 2025 UTME results by JAMB, with over 75% of candidates scoring below 200, is a stark reminder of the shortcomings in our current education system. This dismal performance underscores the urgent need for a paradigm shift in our approach to education, particularly in curriculum development. By implication, the high failure rate in JAMB exams has far-reaching implications for the future of these students and the nation at large. Some key concerns include :
1. Limited Access to Higher Education: Students who perform poorly in JAMB exams may struggle to secure admission into tertiary institutions, limiting their opportunities for further education and personal growth.
2. Skills Gap: The current curriculum's inability to equip students with necessary skills and knowledge may lead to a skills gap in the workforce, hindering Nigeria's economic development.

There's a growing need for holistic Education Reform to address these challenges, a comprehensive review of the curriculum is essential. Some key areas to focus on include:
a. Relevance to Evolving Global Dynamics: The curriculum should be designed to keep pace with rapid technological advancements and changing socioeconomic environments, ensuring students are equipped with relevant skills for the modern world.
b. Digital Literacy: Incorporating digital literacy into the curriculum can help students navigate the digital landscape and prepare them for the demands of the 21st century.
c. Teacher Preparation: Providing teachers with ongoing training and support is crucial to ensure they can effectively deliver the new curriculum and meet the needs of their students.

The implementation of curriculum reform requires careful planning and ex*****on. Some key considerations include:
i. Phased Implementation: Introducing changes gradually can help minimize disruptions and allow teachers to adapt to new approaches.
ii. Stakeholder Engagement: Engaging with teachers, students, parents, and other stakeholders is vital to ensure the new curriculum meets the needs of all parties involved.
iii. Continuous Evaluation: Regular assessments and evaluations can help identify areas for improvement and ensure the curriculum remains effective in preparing students for future challenges.

By prioritizing curriculum reform and addressing the shortcomings in our current education system, we can better equip students for success and drive progress in Nigeria.

The Joint Admissions and Matriculation Board (JAMB) has officially released the results of the 2025 Unified Tertiary Matriculation Examination (UTME), revealing a significant decline in candidate performance. Key Statistics from the 2025 UTME Total Candidates: 1,955,069 sat for the examination. Scor...

05/04/2025

The conservative perspective on borrowing in Nigeria emphasizes the importance of fiscal responsibility and prudent financial management. Conservatives argue that excessive borrowing can hinder macroeconomic stability and growth, citing the country's reliance on borrowing from the Central Bank of Nigeria (CBN) to finance fiscal deficits. This approach has raised concerns about the sustainability of Nigeria's debt and the potential risks associated with it.

One of the key concerns associated with Nigeria's borrowing is the high cost of debt servicing. The burden of debt servicing diverts resources away from essential public services, such as healthcare and education, and towards debt repayment. This has significant implications for the nation's economy and the well-being of its citizens. Conservatives argue that this approach is unsustainable and that alternative solutions must be explored to reduce the debt servicing burden.

Another concern associated with Nigeria's borrowing is the prevalence of corruption and mismanagement. Borrowed funds are often misapplied or embezzled, further exacerbating the ineffectiveness of borrowing. Conservatives argue that this lack of transparency and accountability has contributed to the country's economic challenges and that a more conservative approach to borrowing is necessary to prevent such abuses.

Excessive borrowing can also lead to inflationary pressures, as the injection of high-powered money into the system can have adverse implications on price and exchange rate stability. Conservatives argue that this approach can lead to economic instability and that a more cautious approach to borrowing is necessary to prevent such outcomes.

To address these challenges, conservatives recommend a more prudent approach to borrowing. This includes establishing clear guidelines for internal loans, defining purpose, duration, negotiation fees, and conditions. Additionally, conservatives argue that limiting domestic borrowing and mobilizing undomestic resources can help curb corruption. A comprehensive debt servicing plan is also necessary to ensure that loans are repaid without hardship on the economy. By adopting a more conservative approach to borrowing, Nigeria can mitigate the risks associated with excessive debt and promote sustainable economic growth and development.

Nigeria’s total public debt rose to N144.67 trillion ($94.23 billion) as of December 31, 2024, reflecting a significant increase of 48.58% compared to N97.34 trillion ($108.23 billion) recorded at the end of December 2023.

07/02/2025

The Federal Government's decision to scrap the Junior Secondary School (JSS) and Senior Secondary School (SSS) systems and introduce a compulsory 12-year uninterrupted basic education model is a significant reform in Nigeria's system. This new policy aims to replace the existing 6-3-3-4 education system with a 12-4 model, aligning Nigeria's educational standards with global best practices. The Minister of Education, Dr. Tunji Alausa, announced this development during the 2025 extraordinary National Council on Education meeting in Abuja.

The introduction of the 12-year uninterrupted basic education model has several key implications.

Firstly, students will now enjoy uninterrupted learning until the age of 16, ensuring a standardized curriculum implemented uniformly across the nation. This will help to reduce the number of out-of-school children and ensure that all Nigerian children have access to quality education.

Secondly, the new system will facilitate early exposure to vocational and entrepreneurial skills, preparing students for both higher education and employment. This will help to address the issue of youth unemployment and promote economic growth and development.

Thirdly, the new policy will help to promote global competitiveness by aligning Nigeria's education system with international standards. This will enable Nigerian students to compete favorably with their peers from other countries and promote the country's economic development.

Finally, the extended period of compulsory education will lead to educated youth contributing significantly to national development, reducing child labor, and other social vices.

However, the implementation of the new policy will require significant investment in education infrastructure, teacher training, and curriculum development. The government will need to ensure that all schools have the necessary resources and facilities to implement the new curriculum. Additionally, teachers will need to be trained to deliver the new curriculum, and the government will need to ensure that there are enough teachers to implement the policy.

Despite these challenges, the new policy has the potential to transform Nigeria's education system and promote economic growth and development. The government will need to work closely with stakeholders, including educators, policymakers, and parents, to ensure the success of the policy.

In conclusion, the introduction of the 12-year uninterrupted basic education model is a significant reform in Nigeria's education system. The policy has several key implications, including promoting uninterrupted learning, facilitating early exposure to vocational and entrepreneurial skills, promoting global competitiveness, and reducing child labor and other social vices. While there are challenges to implementing the policy, it has the potential to transform Nigeria's education system and promote economic growth and development. The government must work closely with stakeholders to ensure the success of the policy and provide Nigerian children with the quality education they deserve.