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Nigeria loses an estimated ₦8 trillion annually through tax waivers, concessions, and exemptions.
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The House committee will review incentives from 2015–2025, focusing on EEG, FX programmes, Pioneer Status, and oil & gas incentives.
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The review aims to strengthen transparency, protect public funds, and ensure economic value from government support programs.
Nigeria reportedly loses about ₦8 trillion every year due to tax waivers, concessions, and exemptions, the House of Representatives has revealed. The Ad-Hoc Committee on Review of Tax and Export Incentives, chaired by Hon. James Faleke, is leading a comprehensive review of the administration and economic impact of these incentives from 2015 to 2025.
Faleke explained that while such incentives are intended to promote investment, stimulate exports, and support strategic sectors, mismanagement and ineffective administration have led to significant revenue losses.
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The committee noted that between 2023 and 2026, projected revenue forgone from federal tax incentives totals ₦12.4 trillion, while Nigeria’s tax-to-GDP ratio remains at a low 10.6%.
The committee’s first phase will focus on four priority areas: the Export Expansion Grant (EEG), the RT200bn FX Programme, the Pioneer Status Incentive, and selected oil and gas fiscal incentives.
Faleke emphasized that the review is not a witch-hunt but a move to strengthen transparency, safeguard public funds, and ensure that government support programs deliver measurable economic value.
The House of Representatives said it would request records from relevant ministries, departments, and agencies and engage companies benefiting from the incentives to verify claims.
The exercise is part of broader economic reform efforts, including the President’s Renewed Hope Agenda, aimed at building a more resilient and competitive economy.
