Nigeria’s President Bola Tinubu has taken measures to reduce business costs in Africa’s largest economy by suspending a recently introduced 10% tax on single-use plastics and excise duty on certain locally manufactured products. This decision was announced by Tinubu’s spokesman, Dele Alake, on Thursday, according to reliable sources.
Nigeria has been identified as one of the major contributors to plastic pollution on the African continent, with official data indicating an annual disposal of approximately 2.5 million tonnes of plastic waste, some of which ends up in the ocean.
Alake revealed that Tinubu has signed executive orders to suspend the green tax on single-use plastics, which encompasses plastic containers and bottles and was implemented in March. In addition to this, the orders also halt the proposed 5% telecoms tax introduced by the previous government and prevent an increase in car import duty and excise duty on select locally manufactured goods.
“As a leader who listens, the president issued these orders to alleviate the negative impact of tax adjustments on businesses and the burden they impose on households across affected sectors,” Alake informed reporters.
Since assuming office in May, Tinubu has embarked on a bold reform agenda for Nigeria, which includes the removal of a popular petrol subsidy and the imposition of restrictions on foreign exchange trading, aimed at stimulating sluggish growth.
Alake assured that there will be no further tax increases without broader consultations, emphasizing Tinubu’s commitment to implementing business-friendly policies moving forward.