Customs Revenue Hit Hard by ₦34tn Duty Waivers

The Nigerian Customs Service, represented by Comptroller General Bashir Adeniyi, disclosed a substantial reduction in revenue potential for the federal government due to an extensive import duty waiver program, which is projected to reach ₦34 trillion by 2025. This information was presented during an investigative session of the Senate Committee on Finance in Abuja.

Adeniyi explained that the government's fiscal policies have adversely affected the revenue profile of the Customs Service, which is typically one of Nigeria's highest revenue-generating institutions. The import duty exemption program, introduced in March 2020, has significantly impacted revenue collection, with 60% of the exemptions related to military hardware procurement and essential goods.

Adeniyi urged for stronger oversight of the waiver regime to ensure that beneficiaries fulfill the objectives of the incentives granted. The Senate committee, chaired by Sani Musa, has ordered a reconciliation of outstanding liabilities among various agencies, including the Corporate Affairs Commission, which has reported an outstanding operational surplus of ₦13.9 billion for the 2023-2025 period.