Manufacturers paid N74.48bn in Company Income Tax in the first quarter of 2026 as the Federal Government and the organised private sector seek to balance increased tax compliance with stronger protection for businesses under the new tax regime.

Saturday PUNCH found that N74.48bn paid by manufacturers accounted for 13.82 per cent of the N538.91bn total local Company Income Tax collected during the period, according to data from the National Bureau of Statistics.

However, the sector’s tax remittance fell by 30.98 per cent year-on-year from N107.90bn in Q1 2025, highlighting the changing tax landscape as the four new tax laws introduced a simplified framework for businesses from January 1, 2026.

The Federal Government and the Manufacturers Association of Nigeria agree that the reforms should ensure that manufacturers meet their tax obligations without facing the multiple assessments, levies and administrative costs that previously burdened the productive sector.

Following a recent presentation to manufacturers, the Executive Secretary of the Joint Revenue Board, Olusegun Adesokan, said the new tax framework fundamentally changed manufacturers’ position within the tax system.

“The new law reframes the Nigerian manufacturer from an endlessly assessed target to a protected taxpayer. The law provides stronger safeguards than ever before. Our shared responsibility is to ensure these safeguards are consistently applied across every level of government,” Adesokan said.

He urged manufacturers to hold valid Tax Identification Numbers, maintain accurate records, file employees’ returns on time, pay undisputed assessments and raise valid objections where necessary.

Adesokan also urged manufacturers to comply with the Model Taxes and Levies Law, reject cash transactions for tax payments and use available dispute-resolution channels.

“The success of tax reform will ultimately be measured not by the taxes we impose, but by the businesses we enable to grow, the jobs we enable to create, and the prosperity we enable to share,” he said.

Under the new framework, the government has consolidated more than 100 taxes and levies into nine revenue heads at the sub-national level. They include income tax, stamp duty, property tax, road tax, haulage levy, economic development levy, harmonised levy, user charge and daily tickets.

The new Tax ID system also consolidates the taxpayer identification systems previously operated by the Joint Tax Board, the Federal Inland Revenue Service and state tax authorities. At the same time, the tier of government will have one recognised revenue administration authority.

The reforms prohibit the collection of taxes through roadblocks along transportation corridors and ban cash payments for taxes. They also prohibit associations, unions and other non-state actors from collecting taxes on behalf of the government.

The framework prescribes penalties of up to N5m, three years’ imprisonment or both for mounting revenue-collection roadblocks, while violations involving prohibited cash tax collection attract penalties of up to N2m, three years’ imprisonment or both.

The reforms also introduce a tax refund mechanism to enable taxpayers to recover tax overpayments and establish a centralised framework for haulage levy payments at designated loading and offloading points.

The Office of the Tax Ombud will review complaints against tax officials and authorities, mediate disputes, institute legal proceedings on behalf of taxpayers and escalate cases of non-compliance to the National Assembly or state Houses of Assembly.

Meanwhile, Director-General, Manufacturers Association of Nigeria, Segun Ajayi-Kadir, concurred that the tax contribution by manufacturers must be viewed alongside the need to create a tax system that supports production and investment.

He said the four new tax laws had created an opportunity to reposition taxation as a strategic tool for growing the productive sector.

“In more recent times, the issue of tax has generated a lot of attention, both from the government and the private sector. And the four new tax laws that took effect from 1st of January 2026 have so far been a bigger platform for engaging and for deciding whether tax should support productivity or it should continue to burden the productive sector,” Ajayi-Kadir said.

He said manufacturers previously paid between 120 and 160 taxes and levies, which increased operating costs and created uncertainty for businesses.

“It is evident that before now, we paid anywhere between 120 and 160 new taxes and levies. And for a manufacturer, that can be a lot. It’s too much, and it has actually affected the bottom line, wasted our time and created uncertainty,” he said.

Ajayi-Kadir said limiting the number of taxes and levies to nine would make compliance easier and give manufacturers greater certainty.

The Nigerian Communications Commission has called for increased investment in locally developed technologies to reduce Nigeria’s dependence on foreign software and strengthen the country’s digital sovereignty.

The Executive Vice Chairman of the NCC, Dr Aminu Maida, made the call on Thursday at the closing ceremony of the fourth NCC Hackathon Live Show in Abuja, where innovators showcased technology solutions targeted at persons with disabilities and other digitally excluded Nigerians.

Maida, who was represented by the Executive Commissioner, Stakeholder Management, Rimini Makama, said Nigeria must move from being largely dependent on imported software to developing technologies tailored to local needs.

“Through this hackathon, we are transforming Nigeria from a passive importer of foreign software into a creator of locally engineered assistive technology that serves the ability of all its citizens,” he said.

He added that the solutions developed at the hackathon, ranging from artificial intelligence-powered speech-to-text technologies to voice-enabled public platforms, accessible USSD solutions and inclusive mobile applications, represented building blocks for technological self-reliance.

“By investing in a homegrown, universally accessible codebase, we guarantee Nigeria’s digital economy remains operational, secure, affordable, and responsive to Nigeria’s realities, immune to external shocks,” Maida said.

The NCC boss further urged venture capitalists, telecommunications operators and state governments to provide the investment and partnerships required to move the innovations beyond prototypes.

“We ask you not to view these innovators as contestants, but as future founders, future partners, and future vendors,” he said. “We encourage you to step forward, invest in these accessible prototypes, and help us remove digital exclusion.”

Maida said the need for locally relevant technologies had become more urgent because millions of Nigerians remained at risk of exclusion as economic and social activities increasingly moved online.

Citing World Bank estimates, he said about 25 million Nigerians experience at least one form of disability, while approximately 3.6 million experience significant difficulties in functioning.

He added that persons with disabilities could be excluded not only from connectivity but also from education, employment, financial services, healthcare and participation in society if digital products were not designed with accessibility in mind.

Representing MTN Nigeria, the Senior Manager, Strategy and Innovation, Chinyelu Chikwendu, pledged the telecom operator’s support for the innovators, saying the company was willing to provide infrastructure and explore partnerships with startups whose technologies aligned with its operations.

“We are happy to support your growth. We are happy to support these beautiful ideas that you are all working on, and we are here to help you with the various infrastructures that we have,” Chikwendu said.

She said MTN had infrastructure and platforms that startups could leverage to scale their products, including cloud services, its data centre and API marketplace.

Chikwendu also invited the 20 innovators who participated in the hackathon to apply for the company’s next Cloud Accelerator Programme, which provides startups with mentorship, funding and infrastructure support.

Also speaking, Amadi Kenneth of the Central Bank of Nigeria’s Consumer Protection and Financial Inclusion Department said the apex bank saw opportunities to deploy some of the innovations to expand financial inclusion.

“We want to see that the excluded Nigerians are brought into the financial system,” he said, identifying women, youths, persons with disabilities and people in remote communities as priority groups.

Kenneth said the CBN would collaborate with the NCC and could invite some participants to its Digital Channel Working Group to examine how their applications could support financial inclusion.

The NCC Director of Digital Economy, Helen Obi, said the commission expected the partnerships emerging from the event to help innovators scale their technologies beyond the competition.

She also urged financial institutions to consider dedicated funding for young innovators, saying, “Youths need to be encouraged. Let’s begin to have a huge fund projected for this sector of the economy.”

At the end of the competition, Sora emerged winner and received N3m, while ClearSignal won N2m in second place and Ikor received N1m for finishing third. The three were selected from five finalists, which also included Aditus and Axol.

Investors are increasingly positioning for longer-term returns in Nigeria’s fixed-income market, with the latest treasury bills auction showing an overwhelming preference for the one-year government security.

At the Central Bank of Nigeria’s (CBN) primary market auction on Wednesday, investors submitted N3.63tn for the 364-day T-bill, representing 95.9 per cent of the N3.79tn total bids received across the three maturities.

The demand came despite the CBN lowering the stop rate on the one-year instrument by 44 basis points to 17.15 per cent, from 17.59 per cent at the previous auction.

The auction results point to a significant shift in investor appetite towards longer-dated government securities, even as demand for shorter-tenor instruments remained subdued.

The CBN had offered N700bn across the three maturities, comprising N100bn each for the 91-day and 182-day bills and N500bn for the 364-day bill.

However, total subscriptions reached approximately N3.79tn, more than five times the amount offered.

The PUNCH that the 364-day instrument was the clear outlier at the auction, receiving bids equivalent to 7.26 times the amount offered.

The CBN ultimately allotted N638.19bn, exceeding the N500bn offer by N138.19bn. Despite the additional allotment, only about 17.6 per cent of total bids submitted for the instrument were accepted.

Investors quoted yields between 16.00 per cent and 19.05 per cent, but the CBN settled at 17.15 per cent, suggesting that the level of demand allowed the regulator to reject more expensive bids.

The development is significant because the CBN achieved a lower borrowing rate even after receiving exceptionally strong demand for the security.

The contrast was stark at the shorter end of the curve. The 91-day bill attracted N103.32bn in subscriptions against N100bn offered. The CBN allotted N89.10bn at an unchanged stop rate of 16.30 per cent.

The 182-day bill performed even more weakly, attracting only N52.93bn against N100bn on offer. The CBN allotted N35.59bn, while the stop rate remained at 16.50 per cent.

Secondary-market yields for the three instruments stood above their respective auction stop rates, at 17.45 per cent for the 91-day bill, 17.05 per cent for the 182-day bill and 17.24 per cent for the 364-day bill.

According to a financial sector analyst, Jimbe Asalor, the concentration of bids in the one-year instrument suggests investors may be placing greater value on locking in relatively attractive yields over a longer period rather than repeatedly rolling over shorter-term securities.

He noted that the latest auction also demonstrates “the CBN’s ability to borrow more cheaply when demand is concentrated around a particular maturity.”

He added that by accepting N638.19bn on the 364-day bill at 17.15 per cent, the CBN borrowed above its initial offer while simultaneously cutting the rate by 44 basis points.

“The nine-basis-point difference between the auction stop rate and the 17.24 per cent secondary-market yield also indicates that the one-year segment is now trading relatively close to market expectations.”

A Lagos-based consultant economist, Chukwunonso Iheoma, said if the preference for longer-dated treasury bills persists, the development could provide further support for a gradual decline in government borrowing costs while strengthening expectations of eventual interest-rate cuts.

The Manufacturers Association of Nigeria has urged the Lagos State Government to become the first state to publish a harmonised tax code aligned with the new tax laws, saying the move will significantly reduce compliance costs for manufacturers.

Speaking on Thursday at the 55th Annual General Meeting of the association’s Apapa Branch in Lagos, MAN President, Francis Meshioye, pushed for stronger safeguards against multiple taxation and levies under the new tax regime.

Meshioye called on Lagos to provide manufacturers with a single system for tax assessment and payment to eliminate duplication and uncertainty across government agencies and levels of administration.

“The 2025 Tax Law gives us a once-in-a-generation opportunity to reset this. The law seeks to harmonise, digitise, and reduce friction. But for it to work for manufacturers, especially those in trade corridors like Apapa, we need deliberate safeguards,” he said.

He urged Lagos to publish a harmonised tax code that would provide one assessment authority and one payment portal for manufacturers.

“We urge Lagos State to be the first to publish a harmonised tax code aligned with the new law. One entity to assess, one portal to pay. This will cut compliance cost significantly for our members,” Meshioye said.

The MAN president said the reform would help address the multiple taxes and levies that manufacturers currently face across federal, state and local government levels: “In Apapa, taxation comes from everywhere. A truck moving raw materials from the port to Amuwo Odofin can be stopped by multiple agencies before it gets to the factory gate. That is in addition to corporate tax, VAT, and state levies.”

Meshioye also called for a “No-Tout Zone” policy in Apapa, Amuwo and Kirikiri, saying the government must protect legitimate revenue collection from illegal levies imposed by non-state actors along industrial and port corridors.

He said the Lagos State Government should also work with the Nigerian Ports Authority and the Nigerian Shippers’ Council to create a single bill for port-related charges so that manufacturers would not pay multiple fees to move one container.

The MAN president noted that the association was not seeking tax exemptions but wanted manufacturers’ paid taxes to translate into better infrastructure and security.

“We are asking that the tax we pay translates to motorable roads, working drainage, and security in our clusters. That is the social contract,” Meshioye said.

He further urged the Joint Revenue Board to ensure that states did not use the new tax regime to introduce additional taxes but instead consolidated and simplified existing obligations.

In a separate interview, Meshioye said effective implementation of the new tax laws would expand the tax base while easing the burden on compliant businesses.

“We want an effective implementation of that new law that we have set up, that took effect from January this year. You see, we have had multiple taxes in the past. We had them on multiple levels,” he said.

He said sub-national governments needed to domesticate and fully implement the new framework for manufacturers to enjoy the intended relief.

“And once it’s signed, the sub-national should see it is fully and effectively implemented. If this is done, the body will be laser-focused. Many other people are not paying taxes to come to the tax net, and the relief that is expected to give to the manufacturing business will be achieved,” Meshioye said.

He said the impact of the reform should become measurable through increased business expansion, investment and employment: “So, if it is implemented and you are finding that businesses are expanding, more investment is coming up, and employment level is reduced, then we will have done something.”

The Chairman of MAN, Apapa Branch, Raphael Danilola, said multiple taxation, regulatory burdens, high interest rates, energy costs, insecurity and logistics challenges continued to constrain manufacturers.

“Ultimately, our concern is simple: how do we ensure that tax reform strengthens manufacturing competitiveness rather than adds another layer of pressure on businesses already operating in a challenging environment?” Danilola queried.

He urged the Lagos State Government to review the mandates of its agencies to eliminate duplication and harmonise national and state environmental laws to reduce compliance costs for manufacturers.

Danilola also called for the implementation of the new tax policies and assessment of their impact on state and local governments.

The Federal Airports Authority of Nigeria has lifted its restriction on Bolt operations at airports, restoring passengers’ access to the e-hailing service following widespread complaints over inconvenience and rising transport fares.

The reversal followed a directive from the Minister of Aviation and Aerospace Development, Festus Keyamo, who intervened after passengers and social media users raised concerns about the disruption.

In a post on his X handle, Keyamo said, “Following my directive to FAAN to urgently address the issue of exorbitant taxi fare increases at our airports, the issue has been resolved as follows.”

FAAN announced the decision in a statement signed by its Director of Public Affairs and Consumer Protection, Henry Agbebire, and made available to our correspondent on Thursday.

According to the statement, the resolution followed constructive engagements between FAAN and Bolt, resulting in an agreeable operational framework for the e-hailing company to operate at FAAN-managed airports.

“The Authority is therefore pleased to announce that, following constructive engagements, FAAN and Bolt have reached an agreeable operational framework and Bolt is cleared to commence its services at FAAN-managed airports immediately.”

The development came after concerns over the management of commercial and e-hailing vehicles at airports, with FAAN noting that it had been working for nearly a decade to address challenges associated with the operations of such vehicles.

The Authority said the challenges included passenger solicitation and touting, unregulated operations, random pick-ups, as well as safety, security and accountability concerns.

“These challenges, which in some instances involve drivers operating across more than one platform, have made it necessary for the Authority to strengthen the management and visibility of commercial transportation within the airport,” FAAN stated.

To address the challenges, the airport authority introduced the Airport Car Hire Rank Management System, known as ACHRAMS, to regulate and manage authorised airport car-hire services.

FAAN explained that ACHRAMS was not an e-hailing platform and was not designed to compete with mobility companies such as Uber and Bolt.

“ACHRAMS is not an e-hailing application and was never conceived as a competitor to Uber, Bolt or any other mobility platform. Its function is limited to the management of airport car-hire ranks and the authorised operations associated with them.”

The authority stressed that it supported competition in the airport transportation sector and had no intention of creating a monopoly. “FAAN supports healthy competition and does not seek to create or promote a monopoly in airport transportation.”

FAAN also clarified concerns over airport taxi fares, saying the rates that featured prominently in recent public discussions were neither newly imposed by the authority nor introduced by ACHRAMS.

It said airport taxi fares had existed independently of the system and were not substantially different from the rates previously applicable. “What ACHRAMS introduced was greater visibility and transparency around the prevailing airport-taxi rates, making the cost more readily apparent to passengers,” the authority said.

It, however, acknowledged that passengers had become accustomed to lower fares offered by e-hailing platforms, adding that the comparison had heightened concerns over transportation costs.

FAAN said it was “aware of and deeply appreciates” the concerns expressed by passengers over the increased cost and inconvenience experienced during the temporary suspension of e-hailing services. “We sincerely apologise for the difficulties this caused our passengers.”

The authority maintained that its actions were driven by regulatory, safety and security considerations rather than economic interests. “While the Authority’s actions were driven by regulatory, safety and security considerations rather than economic interests, FAAN acknowledges that the immediate impact on passengers was significant.”

It added, “We have listened, reflected and made the necessary adjustments.”

According to the authority, the agreement with Bolt showed that airport security and regulation could be maintained without denying passengers access to convenient transportation options.

“The resolution demonstrates that it is possible to protect the integrity and security of the airport environment while preserving the convenience and freedom of choice that e-hailing services provide to passengers.”

Billionaire businessman and Chairman of First HoldCo Plc, Femi Otedola, has further consolidated his controlling position in the financial services group through a fresh N12.58bn equity transaction.

The insider transaction was formally disclosed in a regulatory filing submitted to the Nigerian Exchange Limited, which was authorised by the Group Company Secretary, Abiola Baruwa.

According to the official notification, Otedola executed the trade through his affiliated investment vehicle, Calvados Global Services Limited. The firm purchased 95,699,240 ordinary shares of First HoldCo Plc (ISIN: NGFBNH000009) at a unit price of N131.48 per share on the floor of the NGX.

The regulatory disclosure highlights an ongoing share accumulation strategy by the chairman on the main board of the local exchange. Emphasising corporate transparency, Baruwa stated in the filing that the publication serves as an “Initial Notification” of insider share dealing to satisfy all standard regulatory disclosure requirements for capital market issuers.

Outlining his strategic intent behind expanding his ownership, Otedola previously stated, “Building a strong, major stake in an institution of this caliber ensures long-term stability and aligns strategic direction directly with sustainable shareholder value.”

This latest acquisition brings Otedola’s total equity holding in First HoldCo to 27.70 per cent, comprising approximately 12.14 billion shares, as he steadily closes in on his long-term ambition of securing majority control of Nigeria’s premier financial institution holding group.

The continuous capital injection follows an aggressive wave of share acquisitions over recent months, including a massive 1.78 billion share buyout in late July, which firmly displaced institutional holders to solidify his position as the single largest shareholder.

The latest market activity serves as a critical insider dealing notification and further cements the chairman’s position as the financial holding group’s principal investor.

The Chief Executive of the Nigerian Midstream and Downstream Petroleum Regulatory Authority, Rabiu Umar, has warned that uncertainty in the regulatory environment could undermine investments in Nigeria’s petroleum industry.

Umar said investors were prepared to manage commercial risks but found regulatory uncertainty more difficult to accommodate, stressing that clear, consistent and predictable rules were critical to attracting and retaining capital.

The NMDPRA chief executive stated this Wednesday in a message on regulatory certainty, where he highlighted the importance of predictable regulation to the development of Nigeria’s midstream and downstream petroleum sectors.

“Investors are prepared to manage commercial risk. What they find far more difficult is regulatory uncertainty,” he said.

According to him, government efforts to provide fiscal incentives, financing support and policy reforms to encourage investment could achieve little if investors were unsure how the regulatory system would operate in practice.

Umar said investors wanted assurances that rules were clear, decisions were consistent and regulatory processes were predictable, adding that such confidence could influence investment decisions as much as commercial considerations.

He noted that the issue was particularly important in the midstream and downstream sectors, where investments in refineries, pipelines, storage facilities and gas infrastructure were designed to operate over many years.

“Investments in refineries, pipelines, storage facilities and gas infrastructure are designed to operate over many years. Investors need confidence that the regulatory environment will remain stable, consistent and credible throughout the life of those assets,” he said.

The NMDPRA boss said the Petroleum Industry Act had provided the industry with a strong legal and regulatory framework based on transparency, competition and accountability.

He said the responsibility of the NMDPRA is to ensure that those principles are reflected in its day-to-day regulatory activities.

Umar, who said he had spent nearly three decades on the commercial and operational side of the downstream petroleum industry before joining the Authority, said he understood the concerns investors raised before committing capital.

He listed timely approvals, consistent application of regulations and fair and predictable decisions by institutions among the key issues investors considered.

The NMDPRA chief executive further stated that effective regulation went beyond issuing licences and enforcing compliance, as it should provide certainty and create an environment where businesses could plan and investment could grow.

He said the authority was strengthening collaboration with other government institutions, noting that effective regulation depended not only on good policies but also on consistent implementation.

“When institutions work together, the industry experiences a more coordinated and predictable regulatory environment,” he said.

Umar said the implementation of reforms would ultimately determine the confidence investors had in Nigeria’s regulatory system.

“The true measure of any reform is how it is implemented. Every licence issued, every inspection conducted and every regulatory decision contributes to confidence in the regulatory system,” he stated.

He assured stakeholders that the agency would carry out its mandate fairly, consistently and transparently to support responsible investment and the continued development of Nigeria’s midstream and downstream petroleum industry.