The Chairman, Chartered Institute of Bankers of Nigeria, Lagos Branch, Peter Ashade, has urged the Federal Government to increase its revenue base so as to address increasing public debts.
Ashade stated this during the hybrid 2021 Annual General Meeting of the CIBN, Lagos Branch, where he was returned along with other elected officials for a second term of two years.
According to Ashade, the country could do more in the area of revenue generation than it was currently doing, stating that there were other credible sources of revenue the government has yet to explore.
A statement quoted the CIBN Chairman as saying, “I think more attention should be placed on how to increase our revenue generating arms. If we immediately increase our revenue, debts will continue to fall as we do so.
“Nigeria’s public debt is relatively sustainable at 25 per cent of Gross Domestic Product. But debt service payments are high, and the country’s ability to attract external private financial inflows is hurt by macroeconomic imbalances and policy uncertainty. Nigeria’s financing requires improved domestic revenue collection.”
Ashade also said the Federal Government needed to include some other people who had not been captured in the tax net, saying much pressure should not be placed on the citizenry.
“Broadening the tax base could strengthen Nigeria’s fiscal buffers, if structural reforms to enhance compliance are supported and illicit financial flows are tackled. There are a lot of areas Nigeria can generate revenue that can really help servicing the country’s debts,” the chairman added.
Speaking at the event virtually, the former President, Chartered Institute of Bankers of Nigeria, Prof. Segun Ajibola, charged the branch’s leadership and its team of experts to explore the rich network at its disposal.