AfricaEconomy

Nigerian president cut costs by suspending new 10 percent plastic tax

Tinubu, who took office in May, has embarked on Nigeria’s boldest reform agenda in decades to boost sluggish growth in Africa’s largest economy

Exclusive News

Nigeria’s President Bola Tinubu has ordered the suspension of a newly introduced 10 percent tax on single-use plastics and excise duty on some locally manufactured products to reduce business costs in Africa’s biggest economy, his spokesman said on Thursday, according to Aljazeera.

One of the biggest plastic polluters on the continent, Nigeria generates some 2.5 million tonnes of plastic waste annually, some of which ends up in the sea, official data shows.

Presidential spokesman Dele Alake said Tinubu signed executive orders suspending a green tax on single-use plastics including plastic containers and bottles that was introduced in March.

The orders also suspended the implementation of a 5 percent telecoms tax and stopped an increase in car import duties and excise duties on selected goods manufactured locally.

“As a listening leader, the president issued these orders to ameliorate the negative impacts of the tax adjustments on businesses and chokehold on households across affected sectors,” Alake told the press.

Tinubu, who took office in May, has embarked on Nigeria’s boldest reform agenda in decades, including the removal of a popular petrol subsidy and restrictions on foreign exchange trading, in a bid to boost sluggish growth in Africa’s largest economy.

At his inauguration, the president had promised to reset the economy, raising hope among investors and citizens after a series of policy missteps that led to two recessions under the eight-year tenure of his predecessor, President Muhammadu Buhari.

Since the subsidy was removed, petrol prices have nearly tripled in Nigeria, angering unions and causing a spike in transport costs. It has also hit small businesses and millions of households who rely on petrol generators for power due to intermittent grid supply.

There would be no further tax rises without wider consultations, Alake said, adding that Tinubu would pursue business-friendly policies.

Read more

Related posts
Africa

300 African migrants missing off Canary Islands

Three vessels carrying a total of at least 300 people from Senegal have all disappeared, according…
Read more
AfricaBusinessEconomyWorld

Direct flights from Libya to Italy set to resume

The country’s embassy in the North African nation tweeted that Rome had lifted the ban which had…
Read more
AfricaWar

US blamed for leaving innocents stranded in Sudan

For many, a safe haven is now out of reach amid the continuing violence in the African country…
Read more

Sign up for Africa Insider’s Daily Digest and get the best of  news, tailored for you.

Leave a Reply

Your email address will not be published. Required fields are marked *