The International Monetary Fund (IMF) has endorsed the President Muhammadu Buhari’s Economic Recovery and Growth Plan (ERGP).
The ERGP launched in April has been touted as a blueprint for Nigeria’s economic recovery, growth, and sustainable development.
Speaking at the ongoing IMF/World Bank Spring Meetings in Washington, the Assistant Director and Head of Fiscal Policy and Surveillance Division of the IMF, Catherine Pattillo, said the plan would tackle diversification and some of the deep-seated problems related to strengthening structures and building revenues, particularly oil revenue.
The Nation, however, quotes Pattillo as recommending that government increases revenue from taxation to ensure the implementation of the social and growth-friendly policies that are part of the objectives of the ERGP
“One striking statistics I think is the fact that over the past years, the ratio of interest payment to tax revenue has doubled to 66 percent in Nigeria,” she said.
Vice-President Yemi Osinbajo recently stated that the federal government has no plans to increase the rates for Value Added Tax, Personal Income Tax and other taxes but will seek to widen the tax net by getting more Nigerian individuals and companies to pay their taxes.