Nigeria's VAT Collections Surge Under Tinubu's Reforms

Under the administration of President Bola Ahmed Tinubu, Nigeria's tax reforms have begun to yield measurable results, as evidenced by the Nigeria Bureau of Statistics (NBS) report. In the first quarter of 2026, VAT collections reached ₦2.42 trillion, marking a 17.06% increase from ₦2.07 trillion in the same period in 2025.

This growth reflects a 9.98% increase compared to the ₦2.20 trillion collected in Q4 2025. The data indicates that local VAT payments contributed ₦1.11 trillion, while foreign VAT payments accounted for ₦830.47 billion, and import VAT generated ₦477.55 billion.

The manufacturing sector was the largest contributor, accounting for 29.75% of total VAT collections, followed by the information and communication sector at 20.61% and mining and quarrying at 12.32%. These figures demonstrate the effectiveness of ongoing economic reforms aimed at diversifying Nigeria's revenue base and reducing reliance on oil revenue, with a focus on enhancing tax compliance and administration.