Reported by: Oahimire Omone Precious | Edited by: Oravbiere Osayomore Promise.
The Federal Government has dismissed widespread reports that it plans to introduce new taxes on telecommunications services and petroleum products, describing the claims as inaccurate and a misrepresentation of recommendations contained in the International Monetary Fund (IMF) Article IV Consultation Report on Nigeria. In a statement issued on Tuesday, June 16, 2026, by the Senior Special Assistant on Communications and Press Secretary to the Minister of Finance and Coordinating Minister of the Economy, Maryann Duke, the government said recent interpretations of the IMF report had wrongly created the impression that new taxes were being proposed.
According to the statement, the IMF Article IV Consultation Report contains the Fund's assessment of Nigeria's economy and policy recommendations for consideration by the authorities, but such recommendations do not constitute government policy and are not binding on Nigeria. “The Federal Government is not considering the introduction of any new taxes on telecommunications services or petroleum products,” the statement read. The government explained that all policy decisions relating to taxation and fiscal reforms are only adopted through constitutionally recognised legislative, institutional and executive processes, taking into account prevailing economic realities and the country's broader national development agenda.
Addressing concerns over fuel pricing, the government clarified that the existing Value Added Tax (VAT) waiver on petroleum products remains fully in place and has not been withdrawn. It further explained that while current legislation contains provisions for the possible introduction of a fuel surcharge, such a measure can only take effect through a formal ministerial order and publication in the Official Gazette. The government stressed that no such action is under consideration. According to the government, the continued suspension of certain taxes on petroleum products has played a crucial role in cushioning the effects of volatility in global energy markets, helping to keep domestic fuel prices below international and regional averages while easing pressure on households and businesses.
On telecommunications services, the government also clarified that the excise duty previously introduced on the sector before 2023 has since been repealed under Nigeria's revised tax laws and is no longer applicable. “The telecommunications excise duty introduced prior to 2023 has been repealed under the new tax laws and is therefore no longer applicable,” the statement added. The clarification is significant because some reporting had suggested the government was planning to reintroduce or expand such a charge. Nigeria's telecommunications sector, which supports hundreds of millions of subscribers and underpins a broad segment of the digital economy, had faced a five per cent excise duty that industry operators and consumer groups had long argued was passed through to end-users in the form of higher tariffs and data costs. Its repeal was framed by the government as part of a broader effort to reduce the cost of doing business and improve digital inclusion.
The Federal Government urged Nigerians, businesses, media organisations and other stakeholders to disregard reports claiming that fresh taxes are being planned for telecom services or petroleum products. Reaffirming its commitment to economic reform, the government said its ongoing fiscal and tax reforms are focused on building a transparent, growth-driven tax system to strengthen revenue administration, reduce inefficiencies, stimulate business activity and attract greater investment into the economy. It stressed that current reforms are designed to expand economic opportunities and improve the business environment rather than impose additional financial burdens on citizens. The government further assured that any future tax policy adjustments, where necessary, would be officially communicated through appropriate government channels and implemented strictly in line with due process and existing laws.
The clarification comes amid public concern triggered by the publication of the IMF's Article IV Consultation Report on Nigeria, which included Fund recommendations that were widely interpreted in media reports as signalling an impending increase in taxes on fuel and telecommunications. The ministry was emphatic that the IMF's Article IV Consultation Report represents the Fund's own assessment and advisory recommendations — not government decisions. It stressed that such recommendations are not binding on Nigeria and do not automatically translate into policy. “Decisions on tax matters are taken through established constitutional and legislative processes and are guided by national priorities and prevailing economic realities,” the statement underscored. Beyond the immediate denials, the statement offered a window into the government's broader fiscal philosophy under the current administration. The Ministry said the emphasis remains on expanding economic activity, sealing revenue leakages and improving the efficiency of tax administration — rather than broadening the tax base through new impositions on citizens. The framing is consistent with the position the government has articulated in recent months as it navigates the challenge of boosting government revenue — which remains among the lowest relative to GDP in the world — without undermining consumer purchasing power or private sector confidence in an economy still absorbing the shocks of subsidy removal and currency devaluation.
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