Business
FG to Diversify Revenue Streams Beyond Oil – Edun
The Federal Government has reiterated its commitment to actively exploring non-oil revenue sources to reduce dependence on crude oil earnings and strengthen the economy.
Speaking at the 5th National Treasury Workshop in Abuja on Monday, the Minister of Finance and Coordinating Minister of the Economy, Wale Edun, highlighted the importance of this initiative.
Represented by the Permanent Secretary at the Ministry of Finance, Lydia Jafiya-Shehu, Edun stated that the government would step up efforts to generate revenue from alternative sources.
He pointed out that recent changes in global energy policies, reduced demand for crude oil, and price fluctuations made it evident that Nigeria must diversify its revenue streams.
According to him, the government is now prioritizing revenue expansion in sectors such as agriculture, solid minerals, manufacturing, tourism, the digital economy, and creative industries.
Edun described the workshop’s theme, Nigeria’s Revenue Challenges and the Way Forward: Exploring Non-Oil Alternatives, as relevant and emphasized the urgency of addressing the issue.
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He noted that while numerous non-oil sectors have substantial potential for revenue generation, job creation, and economic growth, they remain largely underutilized.
“Several non-oil sectors have demonstrated strong potential for revenue generation, job creation, and economic transformation.
“It is time to explore these aggressively. Let me highlight a few critical areas such as Agriculture and Agro-Processing, Solid Minerals and Mining, Manufacturing and Industrialisation, Tourism and Hospitality, The Digital Economy and ICT, Tax Reforms and Compliance, etc.,” he said.
However, the minister acknowledged that several obstacles continue to impede the full development of these sectors.
He identified inadequate infrastructure, high operational costs, bureaucratic challenges, insecurity, low tax compliance, and revenue leakages as key issues.
To tackle these challenges, he said the government has introduced reforms aimed at improving public financial management, digitalizing revenue collection, and enhancing tax administration.
“The government is already taking bold steps to tackle these issues through reforms in public financial management, digitalisation of revenue collection, and strengthening of tax administration,” he said.
Edun also underscored the significance of collaboration between the public and private sectors in achieving sustainable revenue growth.
He stressed that accountability and transparency in public financial management are essential in building trust and attracting investments.
“To ensure the success of these initiatives, collaboration among all stakeholders is essential. The role of the private sector in complementing government efforts cannot be overemphasized,” he noted.
The two-day workshop, organized by the Office of the Accountant-General of the Federation, brought together key financial and economic experts to discuss strategies for enhancing Nigeria’s revenue performance.
Edun expressed optimism that insights gained from the workshop would help shape future policies and reposition Nigeria’s revenue framework in alignment with global best practices.
He encouraged participants to engage actively in discussions and contribute innovative solutions to boost revenue generation and ensure efficient resource allocation across all sectors.
Additionally, the Accountant-General of the Federation, Dr. Oluwatoyin Madein, stressed the need to address Nigeria’s revenue challenges urgently, stating that economic diversification is crucial for fiscal stability.
She highlighted challenges such as exchange rate fluctuations, low revenue performance, and rising costs, which have complicated fiscal management in recent years.
Dr. Madein outlined the workshop’s structure, which includes five major presentations on economic diversification, tax reform, budget efficiency, fiscal federalism, and public financial management reforms.
She noted that the discussions would feature experts from both the public and private sectors, as well as academia, to ensure comprehensive policy recommendations.
She urged participants to take an active role in deliberations, emphasizing that the workshop’s outcomes should lead to actionable policies that will strengthen Nigeria’s revenue framework at both federal and sub-national levels.
