Abuja: This was disclosed on behalf of the NRS Executive Chairman, Zacch Adedeji, by the Executive Director, Government and Large Taxpayers Group, Ms. Amina Ado.
According to News Agency of Nigeria, Ado spoke at the opening of a two-day management retreat with the theme ‘Designed to Adapt, Built to Deliver’ in Abuja.
She revealed that the revenue collection target for the revenue administration agency for 2026 has been set at N40.71 trillion, which is 44 percent higher than the target for 2025. The executive director provided a breakdown of the 2025 collection figures, indicating that non-oil taxes accounted for N21.4 trillion of the collection, exceeding the projected N18 trillion. Total oil tax collection reached N6.8 trillion, representing 95 percent of the N7.2 trillion target set for the sector.
Ado highlighted the year-on-year growth, with oil and non-oil tax revenue increasing by 19 percent and 35 percent, respectively. For 2025, oil tax revenue amounted to N6.6 trillion, reflecting a growth of 19 percent over the N5.8 trillion realized during the corresponding period in 2024. Non-oil tax revenue for 2025 surpassed the 2024 total, reaching N21.5 trillion compared to N15.9 trillion for the same period in 2024, representing a growth of 35 percent. This growth was attributed to administrative enhancements, broadening of the withholding system, digitalization efforts, improved tax compliance initiatives, and stronger enforcement tactics introduced by NRS.
She stated that the 44 percent increase in the target for the agency was based on the expanded mandate of NRS to act as a revenue system integrator for the country. This mandate includes the collection of royalties previously under the responsibility of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC).
Earlier, the NRS chairman urged the management and staff members of the agency to abandon outdated beliefs. Adedeji emphasized the importance of credibility in Nigeria’s revenue architecture and confidence in the Nigerian economy. He encouraged leading with honesty, courage, and an open mind to build a reputable institution.
The Minister of Finance and Coordinating Minister of the Economy, Mr. Wale Edun, who joined the event virtually, urged Nigerians to rely more on locally made products to reduce revenue losses. He highlighted the importance of intra-Nigerian trade for the economy and the revenue targets of NRS. Edun pointed out the disparity between the debt service paid by developing countries and the overseas development assistance received, stressing the need for internal economic actions.
The minister reiterated the government’s commitment to fiscal reforms and revenue mobilization, commending the NRS for its crucial role in domestic revenue mobilization. Joseph Tegbe, Chairman of the National Tax Policy Implementation Committee, emphasized the importance of effective execution of tax laws, noting that the success of reforms depends on the quality of implementation.
He warned that the country’s reliance on volatile oil revenues exposes it to uncontrollable shocks and emphasized the need for stable, predictable, and sustainable domestic revenue to meet rising public expenditure demands. Tegbe concluded that the success of the reform would be judged not just by the revenues it generates but by the trust it rebuilds between the Nigerian state and its citizens.