IMF Gives Tinubu’s Tax Reform Thumbs Up

The International Monetary Fund has given a thumps up to the tax reform efforts introduced by President Bola Tinubu’s government as part of measures to revive the economy.

The IMF directors commended the Nigerian authorities “on advancing the tax reform bill, an important step towards enhancing revenue mobilisation and creating fiscal space for development spending, while preserving debt sustainability”, according to a statement on Wednesday.

Last week, four tax reform bills were signed into law, with their implementation slated for January 2026.

In the statement following the conclusion of its Article IV Consultation with Nigeria, the Washington-based fund pointed out that the Nigerian authorities have implemented major reforms over the past two years which have improved macroeconomic stability and enhanced resilience.

“The authorities have removed costly fuel subsidies, stopped monetary financing of the fiscal deficit and improved the functioning of the foreign exchange market. Investor confidence has strengthened, helping
Nigeria successfully tap the Eurobond market and leading to a resumption of portfolio inflows. At the same time, poverty and food insecurity have risen, and the government is now focused on raising growth,” the IMF said.