Finance

2019 Budget: Senator Udoma states what Nigerians should expect

Published

6 years ago

May 31, 2019

grassroots

BY: Oliseama Okwuchukwu

The Minister for Budget and National Planning, Senator Udoma Udo Udoma, at the 2019 Budget Breakdown Session, in Abuja, on Tuesday, told Nigerians to be hopeful of a brighter future as the seeds of development planted in the last four years are germinating and soon will be bearing fruits.

While acknowledging the patience of Nigerians and the contributions of critical stakeholders like the National Assembly, the Media, and other partners to the development efforts of government, Senator Udoma explained that an economy usually takes some time to build up momentum after a period of recession.

He added, however, that all indices point to the direction of positive growth and the dividends will soon manifest with greater impact as government continues to faithfully implement the provisions of the Economic Recovery and Growth Plan (ERGP), which underpins government’s economic recovery actions.

The Minister pointed to the fact that already the macro-economy has remained largely stable and growth has increased from 0.82% in 2017 to 1.93% in 2018 and 3.01% is expected in 2019, with the continuing implementation of the ERGP.

“Real GDP increased from 1.89% in Q1 of 2018 to 2.01% in the first quarter of 2019 – the strongest first quarter growth since 2015; Significant growth has been recorded in the non-oil sector: 2..47% growth in Q1 2019, up from 0.76% in Q1 2018 and diversification efforts have continued as contribution of the non-oil sector to GDP increased from 90.4% in Q1 2018 to 90.9% in Q1 2019.”

Senator Udoma said that a lot had been done by the Buhari administration in the first four years and the second term will be focused on building on the initiatives and development efforts already put in place.

“The 2019 budget is designed to further reposition the economy on the path of higher, inclusive, diversified and sustainable growth; and to continue to lift significant numbers of our citizens out of poverty”.

The 2019 budget proposal was presented to the National Assembly (NASS) by President Muhammadu Buhari on December 19, 2018; and passed by the NASS on May 9, 2019. The President signed the budget into law on Monday May 27, 2019.

The total budget outlay for 2019 is N8.92 trillion. According to him, the 2019 Budget seeks to continue the reflationary and consolidation policies of the 2017 and 2018 Budgets respectively, which helped put the economy back on the path of growth.

On the expenditure side, allocations to Ministries, Departments and Agencies (MDAs) of Government were guided by the three core objectives of the ERGP: Restoring and sustaining growth; Investing in our people, and Building a globally competitive economy.

Acknowledging that Nigeria faces significant challenges with respect to revenue generation, he assured that government is taking every necessary steps to tackle challenge.

“Key reforms will be implemented with increased vigour to improve revenue collection and expenditure management.

Mr. President is committed, and has directed that all measures necessary be taken to ensure that we grow rapidly while maintaining fiscal sustainability. To ensure that this happens, the President set up a Projects and Programmes Committee which has concluded its work.

The initiatives developed by this committee will be rolled out as the President enters his second term.” Government, he said, will continue to create the enabling environment for the private sector to increase investment so as to increase productivity, create jobs and stimulate further growth.

To continue to fund the budget, the Minister said apart from initiatives in other sectors, the Federal Government has also sustained its efforts to improve public financial management through the comprehensive implementation of the Treasury Single Account (TSA), the Government Integrated Financial Management Information System (GIFMIS) and the Integrated Payroll and Personnel Information System (IPPIS).

The President has also directed that work should be concluded on the deployment of the National Trade Window and other technologies to enhance Customs collections efficiency.

Speaking on the adjustments made by the National Assembly, he said: Executive revenue assumptions were generally approved and adopted by NASS, except for unexplained increases totalling N31.5 billion on some non-oil revenue lines.

NASS increased the budget size from N8.83 trillion to N8.92 trillion, translating to an increase of N90.33 billion This has resulted in an overall increase of N58.83 billion in deficit.

Inexplicably, NASS reduced the proposed borrowing from N1.649 trillion to N1.605 trillion, thus creating an overall unfunded deficit of N102.83 billion.

To fully fund the budget, the level of borrowing may therefore have to increase. Allocations for some executive projects based on critical appraisal and linked to the ERGP were reduced and a large number of new projects, mainly constituency type projects, were introduced.

Mr. President intends to engage the leadership of the ninth National Assembly, as soon as it emerges, to effect any amendments necessary to ensure he delivers on his electoral promises.

Mr. President also intends to seek the support of the leadership of the NASS for a smoother, faster budget process going forward and their collaboration to return to a January-December fiscal year.

On the issue of unemployment, the Minister said although statistics show that unemployment and underemployment remain high in Nigeria, “we can expect reduction in the rate of unemployment as we continue to implement the policies and programmes of the ERGP, which are directed at creating more diversified and inclusive growth.

Mr President has indicated that the focus of his second term will be employment generation,” he added. (PRNigeria)

Finance

Tinubu Launches Personal Income Tax Calculator to Improve Compliance, Fairness

By ORJI ISRAEL

Published

7 days ago

August 22, 2025

grassroots

President Bola Tinubu

President Bola Tinubu has launched a Personal Income Tax Calculator to help Nigerians work out their tax obligations under the new tax law.

The tool is expected to make compliance easier and improve transparency in the system.

In a post on his X page, the president said the calculator shows how the recent reforms protect low-income earners while ensuring fairness.

“A fair tax system must never punish poverty or weigh down the most vulnerable. With the new tax laws I recently signed, taking effect from January 2026, we have lifted this burden and created a path of equity, fairness, and true redistribution in our economy,” Tinubu said.

Some months ago, he signed four major tax bills into law to bring Nigeria’s scattered tax system under one framework. These include the Nigeria Tax Administration Law, which sets out a uniform process for tax administration across federal, state, and local governments; the Nigeria Revenue Service (Establishment) Bill, which replaces the current Federal Inland Revenue Service Act with a stronger, more independent revenue agency; and the Nigeria Revenue Service (NRS) and Joint Revenue Board (Establishment) Bill, which creates a formal structure for cooperation between revenue bodies at all levels.

The introduction of the tax calculator, together with these reforms, is expected to reduce confusion for both individuals and businesses, while also making it easier for them to meet their obligations and contribute to national growth.

Tinubu added that the reforms are part of building renewed hope for the economy and urged Nigerians to trust in the country’s future for themselves and their families.

Finance

FIRS e-Invoicing Hits 20% Adoption in Two Weeks

Reporter: SANDRA ANI

Published

3 weeks ago

August 11, 2025

grassroots

The Federal Inland Revenue Service (FIRS) says that no fewer than 1,000 companies, representing 20% of total eligible firms, have begun integrating its newly launched electronic invoicing (e-invoicing) system less than two weeks after it went live.

The FIRS e-invoicing platform, which went live on August 1, 2025, after a successful pilot phase that began in November 2024, was designed to modernise Nigeria’s tax administration, curb evasion, and enhance transparency in revenue generation. It also provides the FIRS with real-time visibility into commercial transactions, ensuring authenticity and completeness of invoices.

According to a statement by Dare Adekanmbi, special adviser on Media to FIRS Chairman Zacch Adedeji, at least 1,000 companies, representing 20% of more than 5,000 eligible firms, have already adopted the system and begun integrating with the FIRS platform.

Adekanmbi noted that the initiative, also known as the Merchant-Buyer Model, will be rolled out in phases. “Large taxpayers, which are companies with annual turnover of N5 billion and more, are expected to be the first to be onboarded on the platform,” he said.

FIRS revealed that MTN Nigeria was the first taxpayer to transmit live electronic invoices to the platform, while Huawei Nigeria and IHS Nigeria have concluded test transmissions and are expected to go live soon.

The agency added that the initial compliance deadline of August 1, 2025, has been extended by three months to accommodate companies currently facing onboarding challenges. The new deadline is now November 1, 2025.

Finance

NGX Boss, Umaru Kwairanga, to Chair Business Journal Fintech Roundtable 2025

By Our Correspondent

Published

4 weeks ago

July 31, 2025

grassroots

NGX Boss, Umaru Kwairanga

Dr. Umaru Kwairanga, Group Chairman, Nigerian Exchange Group (NGX) will Chair the 2nd Business Journal Fintech & Financial Inclusion Roundtable 2025 scheduled for Friday, August 29, 2025 at Oriental Hotel, Lekki, Lagos. Time is 10-am prompt.

The theme of the Roundtable is: Fintech & Financial Inclusion: The Opportunities & Challenges for Nigeria.

In a statement, Prince Cookey, Publisher/Editor-in-Chief of Business Journal Media Group said the choice of Umaru Kwairanga to chair the event is a reflection of his immense and chequered journey in the Nigerian economic system over the years.

“Dr. Umaru Kwairanga is a noted player in the Nigerian economy and financial services sector. Over the years, he has carved a positive niche in driving the narrative in national policy formulation, implementation and review. He remains a worthy point of reference and role model to current and future players in the Nigerian economy.”

Alhaji (Dr.) Umaru Kwairanga, Sarkin Fulani Gombe and Group Chairman, Nigerian Exchange Group (NGX), is a notable player in the Nigerian corporate world, a thorough-bred professional and a prominent community leader in Gombe State and the North East region.

He has served at the highest levels of the banking, pension, investment, manufacturing and commercial sectors of Nigeria’s economy. He is the current Chairman of the Nigerian Exchange Group Plc, Nigeria’ oldest stock exchange and also Chairman of Tangerine General Insurance Limited.

The NGX Chairman is also a Director on the Boards of First Bank Senegal Limited, Tangerine Apt Pensions Limited and the Group Managing Director of Finmal Finance Services Limited.

He is a past Chairman of Ashaka Cement plc and previously served on the Boards of Jaiz Bank Plc, Central Securities Clearing System Plc, Lafarge Africa Plc and First Bank Mortgages Limited to mention a few.

Professionally, Alhaji Kwairanga is a Fellow of the Chartered Institute of Stockbrokers, Chartered Institute of Directors of Nigeria, the Certified Pension Institute of Nigeria and the Abuja Commodities and Securities Exchange.

He is also a Council Member of the Chartered Institute of Stockbrokers; the Chartered Institute of Directors and he is the current President of the Certified Pensions Institute of Nigeria.

Kwairanga is a holder of the prominent traditional title of Sarkin Fulani Gombe and has led several initiatives for peace and development in Gombe State and the North East region in general.

He has also been involved in policy and strategy formulation in the public sector as a Member of the Vision 2020 Committee, the Presidential Advisory Committee on the Nigerian Industrial Revolution Plan and several committees of the Securities and Exchange Commission (SEC).