Only a robust approach to domestic revenue mobilisation can guarantee adequate finance for national development, the Chairman of the Revenue Mobilisation Allocation and Fiscal Commission (RMAFC), Dr. M.B. Shehu, has said.
Shehu stated this in his presentation at the just-concluded 2024 National Council on Finance and Economic Development (NACOFED) on the theme, “Fostering Economic Growth in Challenging Times: Strategies for Policies and Partnership for Fiscal Sustainability and National Development” in Bauchi.
Emphasizing the urgent need for diversifying Nigeria’s revenue base to ensure fiscal independence and economic resilience, Shehu noted that Nigeria’s reliance on oil revenue, coupled with global price volatility and rising debt burdens, has highlighted the need for sustainable alternatives.
“Boosting domestic revenue provides a predictable foundation for national planning and reduces reliance on external borrowing,” he stated.
The Chairman identified taxation, non-tax revenues, state-owned enterprises, and the non-oil sector as pivotal sources of domestic revenue.
He highlighted the significance of enhancing efficiency in tax administration and broadening the tax base by integrating the informal sector into the economy.
Also, he called for the development of solid minerals, agriculture, technology, and tourism sectors of the economy, pointing out that the potentials of these untapped non-oil sectors were crucial to boost employment and attract foreign investments, while also contributing significantly to the nation’s revenue base.
He recommended diversifying revenue sources, strengthening tax systems, and promoting transparency and accountability in the management of the nation’s resources.
Besides, he stressed the need to invest in renewable energy, education, and infrastructure to foster long-term growth.
“Domestic revenue mobilization is not just a financial necessity but a pathway to Nigeria’s economic self-reliance.
“By prioritizing inclusive growth and strategic investments, Nigeria can build a sustainable and resilient economy capable of meeting the aspirations of its people,” he said.
The National Council on Finance and Economic Development (NACOFED) is a financial body overseen primarily by the Federal Ministry of Finance to serve as a platform for coordinating economic policies and strategies across all tiers of government (federal, state, and local) to drive national economic development.
It is a forum where key stakeholders discuss and agree on crucial financial and economic issues affecting the country through the NACOFED Conference held annually and hosted by a State Government.
The Minister of Finance and Coordinating Minister for the Economy, Wale Edun; Permanent Secretary, Federal Ministry of Finance, Lydia Jafiya; the Accountant General of the Federation, Mrs Oluwatoyin Shakirat Madein; Chairman, Revenue Mobilisation Allocation and Fiscal Commission, Dr M.B Shehu, and Commissioners of Finance and Accountants General from the 36 States of the Federation and the FCT were among the stakeholders that attended this year’s conference.
