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The VAT Struggle : Lessons for the North

Published

5 years ago

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By: Sani Danaudi Mohammed

The current VAT struggle between the Federal Government and two states in the South, Rivers and Lagos, is sending strong signals to the slumbering North. Obviously, they, the northern states, have abandoned the agriculture sector which could put the region on a global radar as a formidable exporter of cash crops to the international community. At the state level, the North is unfortunate to find itself under different clueless regimes. The governors’ overdependence on the federal allocations has finally forced the region to its knees, begging for alms to survive. It is incontestable that most states in the northern region would be completely on their knees should Rivers and Lagos States succeed in accomplishing their noble dream of becoming revenue collectors.

The term ‘VAT’, Value Added Tax, is a consumption tax that is being exploited by many developed and developing countries to great advantage. In any clime where consumption is key, VAT cannot be evaded. The truth of the matter is that the economic development and growth of any nation depends on its government’s ability to generate adequate revenue in order to effectively provide various infrastructural facilities and amenities to meet the growing needs of its population. Success in meeting its population’s needs enables a nation to maintain its pride of place among the global comity of nations. Proceeds from VAT have brought about wonders of socio-economic progress and infrastructure development in America, United Kingdom and France, to mention but a few.

Nyesom Ezenwo Wike, the Rivers State governor, is currently taking the bull by the horn. A trained lawyer cum economist and former Minister of Education, the iconoclastic Wike, by his resilient stance on making VAT count in Rivers State, seems to have jarred some of his counterparts in other Nigerian states from sleep. And such stance has the potential of phasing out unproductivity on the part of many state governors who contribute little or nothing to the federation account. It is also capable of discouraging mediocre individuals with knowledge deficit on how economy works from contesting political leadership positions like governorship. With the development in Rivers, the installation of VAT will increase the blessings already existence in the oil-rich state. but Rivers State is not alone in this radical but promising move. The Lagos State governor, Babajide Samwo-Olu, has followed suit with the signing, into the law, a bill that will empower the State of Excellency to collect its VAT. This move will, no doubt, justify the sustained clamour for the replacement of economically tactless state gobernors with enterprising and visionary ones who have the will to generate productive ideas as well as translate such to resources for the overall good and interest of their people. Leadership, it must be stressed, is not a walk in the park. It entails responsibility. And to be responsible, a leader must be constructively creative.

In Nigeria, tax collection has become practically impossible, given the uninspiring reality that both the tax collectors and the tax payers share different sentiments in relation to VAT. The current global oil glut has adversely affected the revenue generation status of Nigeria. The over 60% drop in oil price to less than $40 per barrel was unanticipated by President Buhari-led government. And this has resulted in over 80% fall in the yield (spread) per barrel of oil produced in Nigeria. This markedly steep decline in the country’s revenue accounted for the 2016 budget deficit of over N2trillion, An untoward development like this has precipitated the continuous devaluation of the Naira, while the Gross Domestic Product( GDP) growth is slow, inflow of foreign direct investment has been cut down, bringing about rising inflation and growing unemployment.

The FG has put a stop on capital projects while allocation to the states of the federation has reduced. This has resulted in the inability of many state governments in the nation to honour the social contract (between them and the populace) which constrains their provision of necessary infrastructural facilities and pay workers’ salaries ranging as and when due. It is, therefore, very clear that there is the need to diversify the revenue base of the nation, and VAT is the panacea. As a major revenue source of advanced nations of the world, VAT is not well exploited to great advantage the Nigerian government.

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Section 46 of the VAT Act introduces new definitions for animal feed and commercial aircraft spare parts and components. The definition of goods and services has been reviewed, as animal feed now refers to any raw, semi-processed or processed product which is fed to domesticated and other animals raised and slaughtered for human consumption as beef, goat, lamb, pork, chicken, fish and other kinds of meat. Such feed is also given to animals cultivated and raised for the production of milk or eggs as well as other sources of protein and nutrients useful to humans. Commercial aircraft spare parts and components, according the review, now refer to engines, propellers, radio apparatus, instruments, appliances, furnishing, parts of any of the foregoing, and generally any other article of whatever description maintained for installation in a commercial aircraft in substitution for parts or articles removed. All forms of tangible properties, movable or immovable, but which do not include land and building, money or securities.

Our northern governors must begin to see government and governance beyond addressing gatherings and making public speeches, Political leaders in Nigeria have, for decades, been riding on the coat tails of family privileges to acquire wealth by faulting, on many occasions, our Constitution. It is obvious that politics in Nigeria is now becoming a business of the weak-minded individuals who lack the vision to see beyond their noses to create ideas and innovations to generate income for infrastructure developments and create jobs. We all witnessed the plight of states’ legislations across the country, which mandates payment of huge amount of money to former governors and their deputies to the detriment of the electorate.

Since there is pegged monthly allocation coming from the federal purse which is not determined by the amount contributed by the federation states, many governors are more than lazy in contributing to the pool of fund expected to be shared at the month end. But they are quick to claim glory for voting figures during general elections. Indeed, it high time every state government learnt to steer its population towards contributing resources for the development of the state. We read from our archives about how the late Premier of the defunct Northern Region, Sardauna of Sokoto and his counterpart in the Western Region, the late Obafemi Awolowo exploited this capability to great advantage in building very solid economic and educational structures which still remain the pride of the country.

The founding fathers of Nigeria were never this lazy. While Nigeria operated regional system of government, it became healthy competition among regional leaders, striving for development of their respective regions and people. While multiple streams of income generation were initiated, no one went to bed and wait for monthly allocations as the case is now. On a personal note, I see Wike and Nasir El-Rufai as the most radical political leaders in this country. The late Maitama Sule (Dan Masanin Kano) described such breed of politicians as responsible rascals because they are exactly the crop of leaders Nigeria needs now. They have been courageous to speak and implement policies and programmes which they consider right for their states and people, no matter whom their decisions may hurt.

On arriving Kaduna from Abuja on Saturday for a function, I, while passing through the busy Mando express way, saw young men. They were well dressed in uniform. And I kept wondering whether or not they were security agencies. Little did I realize that they were officers of Kaduna State Transport and Environmental Law Enforcement Agency (KASTELEA). This is one of the sundry initiatives boldly taken by Kaduna State to take the youths off the street. The major bye-product of this radical move is the emergence of a new Kaduna State under El-Rufai’s watch. It is true that Wike and El-Rufai are pacesetters while others follow. This is because they have set standards in terms of revenue generation. The cities of Kaduna and Port Harcourt currently wear a new look, as flyovers are beautifully scattered all over just because these two states are able to develop capacity for finding an alternative method of revenue generation rather than rely always on the federation account.

According to the available records of internally generated revenue (IGR) in the 36 States of the Federation in the year 2020, Lagos State topped the list, followed by Rivers, Delta, Ogun and Kaduna States. These states generated more than what other 31 states generated as IGR combined, which is why other states are financially dependent on the federation account where they account for 50% , 35% to local governments while the Federal Government is left with only 15% of the generated revenue.

In conclusion, it is evident that, should the governors of Rivers and Lagos States succeed in their plight then, like Governor Inuwa Yahaya of Gombe State said, many states will collapse. It is not time for begging for alms but this is critical time for the northern states that are left behind to begin to think about the constructive ways to improve on their internally generated revenue. Otherwise, the sinking ship will spare no one. Though, the Appellate Court has ordered for the stay of execution of the earlier judgment secured by the Governors of Rivers and Lagos States with respect to the signing, into law, the bill that will empower the state governments to collect VAT, the wounds are not yet healed. Anyone accusing Wike or Sanwo-Olu on this needs urgent reorientation. Otherwise, he or she can be said to share the same lazy mindset with the of the northern Political elites in question.

Sani Danaudi Mohammed
National President,
Arewa Youths Advocate for Peace and Unity Initiative, Writes from Bauchi.

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Opinion

Kano Governor Yusuf Shortlisted for Africa’s SANKOFA Award of Excellence in Infrastructural Development

Published

4 days ago

on

July 25, 2026

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By Abba Anwar

Kano State Governor Abba Kabir Yusuf makes a list of potential Awardees across West African sub-region, observed and screened by an African association named Réseau des Jeunes du Sahel pour le Progrès, le Développement et la Démocratie (Network of Sahel Youth for Progress, Development and Democracy), on infrastructural development in their respective states.

The top most Award from the association, called Sankofa Award of Excellence across various sectors, is given to people or leaders who excel in their respective areas of work or responsibilities.

With the recent disclosure made by the Commissioner of Public Procurement, Projects Monitoring and Evaluation, Nura Ma’aji Sumaila, on the state of infrastructural development and payments of contracts in the state, the association included Kano to be part of the states across Nigeria and West African countries, screened for an Award of Excellence.

Source close to the association reveals that, Governor Yusuf’s achievements in the area of infrastructural development, could not be neglected and the Governor stands a better position to be seen and amplified across the globe. As a result of his commitment and service to humanity.

Parts of the major reasons that informed the association’s decision to include Governor Yusuf for Sankofa Award of Excellence for Infrastructural Development in West Africa is his genuine inclusion of infrastructures that are human centred, modern, location specified and standardization process and procedures.

According to the source, the Screening Committee saddled with the responsibility of selecting qualified personalities across West Africa are in their final stage of releasing the result. Assuring that, under infrastructural development, Kano excels. Though not officially announced.

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When Governor Yusuf gets this Award, he will be the second person from Nigeria who bags the Award. Last year the Deputy Senate President Barau I Jibrin, PhD, CFR, got the SANKOFA Award for Legislative Excellence in Africa. Coincidentally, Governor Yusuf who is also from Kano state, would be the second Nigerian in this category.

The President of the association Mr Fassoko Doumbia, from Mali, confirmed to my source that, from all indication, “Kano State Governor, from Nigeria, Mr Abba Kabir Yusuf is in the forefront of those screened for the Award.”

With this recognition of excellence, the Award places Governor Yusuf to be one of the best Nigerian governors. And the best across West Africa on infrastructural development. One good thing about the Award is, it will as well serve as an engine oil for state commitment and unwavering service delivery.

Mr Doumbia reveals further that “… it is amazing looking at the unmatched number of completed and ongoing projects as Kano has 799 completed projects and 709 projects at various stages of completion. It is encouraging to see that Governor Yusuf is executing over 1,508 developmental projects across all 44 LGAs.”

What keeps hope and commitment alive are the transparent monitoring, evaluation and effective payment to contractors. Of which out of N928 Billion of the total contract sum, the state has already paid over N600 Billion, that’s 64.7% payment rate.
Unlike in many states in Nigeria and West Africa. The association believes that Kano institutionalized transparency through the Ministry of Public Procurement, Projects Monitoring and Evaluation.

The screening committee appreciated Kano’s strategic and balanced infrastructure spread, between urban and rural areas plus improved security. For urban renewal it has the sum of N169 Billion. While there are 5km roads in 38 LGAs with the sum of N118 Billion. They appreciated the rural infrastructure across 44 LGAs with the sum of N397 Billion for roads, education, healthcare, and social services.

While under security infrastructure the total sum of N6.863 Billion for Neighborhood Security Watch offices in 36 LGAs. This assured deliberate, balanced development with value for money, quality delivery, and measurable impact on the lives of the people. All courtesy Governor Yusuf.

It serves also as indices of how Governor Yusuf makes the list for such Award, that his infrastructures are signals for the delivery of landmark, human-centered projects as Kano completed tangible projects that directly improve lives of the citizenry, with 40 metropolitan roads, 44 PHCs, 120 schools, 5 water plants, with the ongoing Dan Agundi and Tal’udu flyovers at over 80% completion.

It has also been discovered that, Kano enjoys proven technical leadership and political will. Which glaringly displays the political will and technical competence required to drive massive infrastructure without corruption or delays. This is part of the major engagements being identified, which eventually resulted into the popular Sankofa Award of Excellence.

Anwar writes from Kano
Saturday, 25th July, 2026

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Opinion

Beyond the Numbers: What the Ekiti 2026 Governorship Results Reveal About Coalition Politics and Path to 2027

Published

1 week ago

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July 20, 2026

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By Abass Sherifat Taiwo

Returning Officer Adenike Oladiji, a professor and Vice-Chancellor of the Federal University of Technology, announced the results in the early hours of Sunday, at roughly 3:13 a.m. Incumbent Governor Biodun Oyebanji of the APC won comfortably, polling 319,224 votes across the state’s 16 local government areas. His closest challenger, the PDP’s Oluwole Oluyede, trailed far behind with 40,543 votes, while the ADC’s Dare Bejide came in third with 12,872 votes.

Of the 384,940 voters accredited for the election, 375,777 cast valid votes, a validity rate of about 97.6%, suggesting relatively few spoiled or rejected ballots.

Oyebanji’s win carries added weight as the first consecutive re-election in Ekiti’s history, a state known for unseating incumbents since 1999. His dominance was also total: he won all sixteen LGAs, and even his closest contest, in Ikere, was still a comfortable margin. His five strongest councils alone delivered nearly half his statewide votes, showing concentrated rather than thin support.

Elite alignment mattered too. For the first time, every living former Ekiti governor backed his re-election, leaving the opposition without any prominent defectors to rally behind. This unified backing functioned as a coordinated endorsement strategy, a visible signal of consensus that opposition parties had no comparable message to counter.

Between the opposition parties, PDP’s showing is more telling than ADC’s. ADC placing third as a newer platform isn’t surprising, but PDP, a long-established national party, barely crossed 3,000 votes in most councils, pointing to weak grassroots structure rather than just a bad cycle. The deeper question is whether this reflects a structural failure or a failure to sustain visibility and message presence at the ward level between election cycles.

Party | Votes | % of Valid Votes
APC | 319,224 | 84.95%
PDP | 40,543 | 10.79%
ADC | 12,872 | 3.43%
ADP | ~1,289 | 0.34%
Accord | 564 | 0.15%
LP | ~263 | 0.07%
AAC | ~188 | 0.05%

When the vote totals of every opposition party are combined, they amount to roughly 55,719 votes, or about 14.83% of all valid votes cast, a stark contrast to the APC’s dominant 84.95% share on its own. Even in a hypothetical scenario where every opposition party ran on a single, fully united ticket, their combined total would still fall short of the APC’s by approximately 263,505 votes. This gap illustrates just how commanding Oyebanji’s victory was: it was not simply a matter of a divided opposition splitting votes among several parties, but a result that would have withstood even total opposition unity.

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Following the Ekiti result, APC framed it as proof of growing national support ahead of 2027, pointing to the rise in its vote totals in the state from about 187,000 in 2022 to roughly 318,000 in 2026, and projecting even higher numbers for Tinubu in 2027. Opposition parties, including the ADC and SDP, pushed back, arguing that Ekiti’s off-cycle, low-turnout nature makes it a poor predictor of a national contest.

Both claims need scrutiny. APC’s growth trend is real, but it happened in a state the party already governs, where incumbency and federal attention worked in its favour, so it says more about consolidating an existing stronghold than expanding into contested territory. The opposition’s caution is fair, but understates that APC’s structural advantages, incumbency and federal resources, aren’t unique to Ekiti and could repeat elsewhere. The more accurate takeaway is that Ekiti confirms APC’s strength where it already holds power, without proving it can replicate that in genuinely competitive states by 2027.

ADC’s third-place finish in Ekiti, just 3.43% of the vote, looks unremarkable on its own, but it only makes sense next to the party’s national story. A year earlier, ADC had positioned itself as the face of a new opposition coalition, pulling in heavyweight names like Atiku Abubakar and Peter Obi with the promise of a unified front against the APC. That promise hasn’t held: Obi and Kwankwaso have since defected to a rival platform, the NDC, while ADC battles leadership disputes and court cases that put its own 2027 participation in doubt.

That is the real lesson here for coalition politics as a communication problem, not just a structural one. ADC did not fail for lack of big names, it had plenty. What it could not do was hold one coherent message together once multiple egos and regional bases began pulling in different directions. Whether it can still become the platform it promised by 2027 is uncertain, but Ekiti is an early sign of a bigger unraveling.

Beyond Ekiti, the result speaks to a deeper pattern in Nigerian opposition politics: alliances are far easier to announce than to sustain. This suggests APC’s greatest advantage going into the next general election may not be its own performance, but the opposition’s continued inability to stay united. The near-total validity rate and one-sided outcome in Ekiti also raise questions about how genuinely competitive Nigeria’s state elections currently are, and whether low-turnout, off-cycle polls like this one can reliably signal national voter sentiment.

The Ekiti result is less a story about Oyebanji’s popularity alone than about the opposition’s structural fragility. Even a fully united opposition ticket would not have closed the gap, which means the problem isn’t vote-splitting, it’s organisational weakness, unstable coalitions, and the absence of a party capable of matching APC’s machinery and incumbency advantages. What Nigeria’s opposition needs before 2027 isn’t just structural unity, but a coherent, disciplined communication strategy capable of sustaining one message across factions, something no coalition has yet demonstrated. Until Nigeria’s opposition can build a coalition that survives contact with real electoral pressure, results like Ekiti’s are likely to repeat themselves in APC strongholds heading into 2027.

By Abass Sherifat Taiwo
Department of Development and Strategic communication University of Abuja
200level

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Opinion

Governor Abba Kabir Yusuf Has Earned a Vote of Confidence on Education

Published

1 week ago

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July 19, 2026

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By Hon. Muhammad Sanusi S. Kiru, FCIA
(Former Commissioner of Education, Kano State)

There comes a time in public discourse when fairness must prevail over partisanship and facts must take precedence over preconceived opinions. That moment has come in my assessment of the educational reforms being implemented by the administration of His Excellency, Governor Abba Kabir Yusuf.

As a former Commissioner of Education and someone who has consistently evaluated government performance with candour, I owe the people of Kano State an honest appraisal of the Governor’s performance in the education sector. After objectively reviewing the administration’s interventions from 2024 to 2026, particularly its determined efforts to address the acute shortage of teachers, I have reached an inescapable conclusion: Governor Abba Kabir Yusuf deserves a vote of confidence for his outstanding commitment to the development of education in Kano State.

One of the greatest challenges confronting our educational system has been the persistent shortage of teachers, resulting in unfavourable teacher-pupil and teacher-student ratios across many public schools. This problem has adversely affected the quality of teaching and learning for many years.

The present administration has confronted this challenge with courage and determination. Between 2024 and 2026, the government recruited or absorbed 8,715 permanent teachers and engaged 3,688 temporary BESDA Cohort V teachers, bringing the documented total to 12,403 education personnel. With recruitments by other education agencies, the overall figure is widely estimated at approximately 13,000 teachers.

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This represents one of the largest teacher recruitment exercises in the history of Kano State. More importantly, it is a strategic investment in the future of our children and in the long-term development of the state. By substantially reducing the teacher deficit, the administration has strengthened both the basic and post-basic education subsectors and created a stronger foundation for improved educational outcomes. The new recruitment not only means making our classrooms more vibrant and ensuring that teaching is consistently taking place, but it also signifies a positive shift in the narrative reflected in monitoring reports, the annual school census, and national personnel data.

Looking at the tangible achievements now before us, particularly in education, it is clear that the administration has made significant and commendable progress. Leadership should always be judged by measurable accomplishments, and in this regard, the Governor has acquitted himself admirably.

One area where the administration must, however, improve is public communication. Many of its remarkable achievements have not received the publicity they deserve. A well-coordinated and effective publicity strategy would ensure that citizens fully appreciate the scope and impact of these landmark interventions.

As His Excellency prepares to personally attend the special ceremony for the presentation of appointment letters to the newly employed teachers on Tuesday, 21st July 2026, I consider it appropriate to congratulate him on this historic milestone. The ceremony is more than a presentation of appointment letters; it is a celebration of renewed hope for thousands of families, a reaffirmation of government’s commitment to quality education, and a significant step towards building a stronger educational system for future generations.

I wish His Excellency a successful and hitch-free ceremony and pray that Almighty Allah grants him wisdom, good health, and continued strength to sustain the ongoing transformation of the education sector. May this programme mark the beginning of even greater achievements in the quest to provide every child in Kano State with access to quality education delivered by competent and dedicated teachers.

Governor Abba Kabir Yusuf deserves sincere commendation for these giant strides. If this policy of continuous recruitment and investment in teachers is sustained, it will undoubtedly be remembered as one of the defining legacies of his administration. Future generations will look back on this period as a turning point in the educational history of Kano State.

I therefore extend my heartfelt congratulations to His Excellency and offer him a well-deserved vote of confidence. I also wish him every success as he formally presents appointment letters to these newly recruited teachers on Tuesday. May the occasion be memorable, successful, and another milestone in the march towards educational excellence in Kano State.

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