Tinubu orders revenue review to improve savings, target 7% growth by 2027

By Kunle Sanni –

President Bola Tinubu has directed a comprehensive review of deductions and revenue retention practices by Nigeria’s major revenue-generating agencies to boost public savings, improve spending efficiency, and free up funds for economic growth.

The directive, issued during Wednesday’s Federal Executive Council (FEC) meeting in Abuja, affects the Federal Inland Revenue Service (FIRS), Nigeria Customs Service, Nigerian Upstream Petroleum Regulatory Commission (NUPRC), Nigerian Maritime Administration and Safety Agency (NIMASA), and the Nigerian National Petroleum Company Limited (NNPC).

Finance Minister and Coordinating Minister of the Economy Wale Edun, who briefed journalists after the meeting, said Tinubu specifically ordered a reassessment of NNPC’s 30% management fee and 30% frontier exploration deduction under the Petroleum Industry Act. The President tasked the Economic Management Team to present recommendations for an optimal revenue framework.

Tinubu said the review is part of reforms aimed at dismantling economic distortions, restoring policy credibility, and enhancing investor confidence. He reaffirmed his Renewed Hope Agenda to grow Nigeria into a $1 trillion economy by 2030, with annual GDP growth of at least 7% from 2027.

“This is not just an economic target — it is a moral imperative. Higher growth is the surest path to tackling poverty,” Tinubu stated, citing the July 2025 IMF Article IV report, which endorsed Nigeria’s economic trajectory and stressed the need for investment-led growth.

The President also highlighted the Renewed Hope Ward Development Programme, covering all 8,809 wards nationwide, as a grassroots initiative to lift citizens out of poverty through collaboration with state and local governments, as well as private partners.

Tinubu warned that with public investment currently accounting for only 5% of GDP, Nigeria must “optimize every available naira,” especially amid tight global liquidity conditions.

Edun noted improving macroeconomic indicators, including exchange rate stability, easing inflation, rising revenues, and a debt-to-GDP ratio now within manageable limits. He said the revenue review would strengthen public sector savings, which he described as the foundation of sustainable investment.