Domestic revenue mobilization will drive up Nigeria’s economy — RMAFC Chairman
By Kunle Sanni
The Chairman of the Revenue Mobilization Allocation and Fiscal Commission (RMAFC), Dr. Mohammed Bello Shehu, has emphasized the importance of domestic revenue mobilization as a critical driver of Nigeria’s economic development.
Speaking at the 2024 National Council on Finance and Economic Development (NACOFED) conference in Bauchi, Dr. Shehu highlighted the urgent need for Nigeria to diversify its revenue base to ensure fiscal sustainability and economic resilience.
With the theme “Fostering Economic Growth in Challenging Times: Strategies for Policies and Partnership for Fiscal Sustainability and National Development,” the conference brought together key stakeholders to discuss strategies for national economic advancement.
Dr. Shehu noted that Nigeria’s heavy reliance on oil revenue, combined with global price volatility and increasing debt levels, underscores the need for alternative and sustainable revenue sources.
“Boosting domestic revenue provides a predictable foundation for national planning and reduces reliance on external borrowing,” he stated.
The RMAFC Chairman identified taxation, non-tax revenues, state-owned enterprises, and the non-oil sector as pivotal to domestic revenue mobilization.
He called for the integration of the informal sector into the tax system and highlighted the potential of sectors like solid minerals, agriculture, technology, and tourism to drive employment, attract foreign investment, and significantly contribute to national revenue.
Recommendations for Fiscal Sustainability
Dr. Shehu urged the government to:
Diversify revenue sources.
Strengthen tax administration and broaden the tax base.
Promote transparency and accountability in financial management.
Invest in renewable energy, education, and infrastructure to foster long-term economic growth.
“Domestic revenue mobilization is not just a financial necessity but a pathway to Nigeria’s economic self-reliance,” he said.
The NACOFED conference, an annual event coordinated by the Federal Ministry of Finance, serves as a platform for federal, state, and local governments to align on economic strategies.
This year’s edition was attended by top government officials, including the Minister of Finance and Coordinating Minister for the Economy, Wale Edun, the Permanent Secretary of the Federal Ministry of Finance, Lydia Jafiya, and the Accountant General of the Federation, Mrs. Oluwatoyin Shakirat Madein.
Dr. Shehu concluded his address by encouraging stakeholders to prioritize inclusive growth and strategic investments to build a resilient and sustainable economy capable of meeting the aspirations of Nigerians.
