Tinubu Blames Colonial Tax Laws for Nigeria’s Economic Struggles, Promises Major Reform Boost

A major shift is underway in Nigeria’s tax system as President Bola Tinubu pushes a sweeping reform agenda aimed at overhauling decades-old fiscal structures he says have slowed economic progress and deepened inequality.

At the inauguration of the new 16-storey Nigeria Revenue Service (NRS) headquarters in Abuja, Tinubu argued that outdated colonial-era tax laws created a fragmented system that weakened revenue generation and constrained national development. He insisted the reforms now being implemented are designed to reverse those long-standing inefficiencies.

The President said Nigeria cannot achieve lasting prosperity while operating a weak and inconsistent tax framework. He described the ongoing reforms as a deliberate attempt to rebuild trust in public institutions while making the economy more attractive to investors.

Tinubu explained that the new tax regime, which became fully operational in January, is focused on simplification, transparency, and fairness. He said the goal is to remove distortions that previously made compliance difficult and created loopholes in revenue collection.

He also highlighted improvements already recorded under the reform programme, pointing to stronger fiscal stability, rising foreign reserves, and renewed investor confidence as early signs of progress.

According to him, the new system is not just about increasing revenue but ensuring that taxation becomes more efficient and supportive of business growth. He added that the reforms are intended to reward enterprise while protecting vulnerable citizens.

Tinubu commended the leadership of the Nigeria Revenue Service for completing its new headquarters within 30 months, describing the facility as a symbol of institutional discipline and modernization.

Senate President Godswill Akpabio and Speaker of the House of Representatives Tajudeen Abbas both backed the reforms at the event, noting that Nigeria’s past revenue challenges were driven by overlapping laws and fragmented systems that reduced efficiency.