Members of the Nigeria Governors Forum convened on Wednesday at the forum’s secretariat in Abuja for their first meeting of 2025.
The meeting was attended by the United States Ambassador to Nigeria, Richard Mills, and the Minister of Women Affairs, Imaan Sulaiman-Ibrahim, alongside the state governors.
At their previous gathering, the governors had expressed support for the Federal Government’s tax reform bills but proposed a revised sharing formula for Value Added Tax to ensure a more equitable distribution of resources.
According to their proposal, the new VAT-sharing formula would be:
– 50% based on equality
– 30% based on derivation
– 20% based on population
In a communique issued by the NGF Chairman and Governor of Kwara State, AbdulRahman AbdulRazaq, the forum reiterated its stance on maintaining economic stability while safeguarding citizens’ welfare.
“Members agreed that there should be no increase in the VAT rate or reduction in Corporate Income Tax at this time, to maintain economic stability.
“The Forum advocated for the continued exemption of essential goods and agricultural produce from VAT to safeguard the welfare of citizens and promote agricultural productivity,” the communique read.
