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Alake: Reduction of N531bn 2025 Mining Budget To N9bn Unacceptable

Senator Natasha Akpoti-Uduaghan emphasized that if Nigeria is serious about developing the mining sector, the 2025 budget proposal must be drastically reviewed upwards.

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” In our budget proposals for 2025, we estimated over N531 billion for capital expenditure but was allocated a mere N9 billion.

This is unacceptable, as it will hinder any significant investment in exploration, which is crucial for generating the geo-data that will attract major players.”

Those were the words of the Minister of Solid Minerals Development, Dr Dele Alake, calling on the National Assembly for a radical upward review of the budget.

Dr Alake, supported the Joint National Assembly Committee on Solid Minerals for having rejected the proposed N9 billion capital budget for the mining sector in the 2025 budget.

He highlighted the positive outcomes of the reforms over the past year, which have created 45,000 new jobs in the sector, up from 30,000 the previous year.

He also noted that the 2024 revenue projection of N11 billion had been exceeded, with N38 billion generated in the year under review.

“We have not only succeeded in attracting global attention to Nigeria’s mining sector, but we have also seen an increase in revenue, despite receiving only 18% of our 2024 capital budget.

The Committee emphasizes that the allocation falls drastically short of the investment required to position solid minerals as the cornerstone of economic diversification.

During the budget defense session on Friday, the Chairman of the Joint Senate and House of Representatives Committee on Solid Minerals, Sen. Ekong Sampson, expressed the committee’s displeasure with the proposed allocation, noting that without substantial investments in exploration and other critical areas, the potential of solid minerals to drive the transition to green energy would remain unrealized.

In the same vein, the Co-chairman and House Committee Chairman on Solid Minerals,

Hon. Gaza Gbefwi condemned the reduction of the proposed N531 billion 2025 capital expenditure proposal to N9 billion, describing it as a disservice to the sector, which he argued is crucial for generating revenue beyond oil. “As a House, we will not allow the future of generations to be compromised because of misplaced priorities.

We, as elected representatives, understand the urgent need to diversify our economy, and no sector holds more promise in this regard than solid minerals. If we miss this opportunity to invest today, future generations will not forgive us,” Hon. Gbefwi asserted. Hon.

Gbefwi pointed to countries like Botswana, South Africa, and Ghana, which are investing heavily in exploration, and stressed that with Nigeria’s vast reserves of critical minerals, underfunding the mining sector would prevent it from becoming a key revenue driver for the nation.

Senator Natasha Akpoti-Uduaghan emphasized that if Nigeria is serious about developing the mining sector, the 2025 budget proposal must be drastically reviewed upwards.

She added her voice to the call for the rejection of the proposed budgetary estimates and a suspension of the screening process until the review is implemented.

In an unanimous voice vote, Sen. Ekong Sampson, Chairman of the Joint Committee, announced the committee’s resolution to reject the proposed 2025 budgetary estimates, suspend further screening of the ministry’s budget, and invite the Ministers of Budget and National Planning, as well as Finance, to make a case for an upward review of the mining sector’s budget allocation to ensure the nation fully maximizes the potential of its mineral resources.

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NTA didn’t introduce VAT on charges collected by banks — NRS

The Nigeria Revenue Service (NRS) wishes to address and correct misleading narratives circulating in sections of the media suggesting that Value Added Tax (VAT) has been newly introduced on banking services, fees, commissions, or electronic money transfers.

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Photo: NRS chairman, Zacch Adedeji

The Nigeria Revenue Service (NRS) has clarified that the Nigeria Tax Act (NTA) did not introduce VAT on banking charges, nor did it impose any new tax obligation on customers in this regard.

In a statement made available to newsmen and signed by Dare Adekanmbi, Special Adviser on Media to the NRS chairman, Zacch Adedeji, the service said the claims are incorrect.

According to the NRS, VAT has always applied to banking services and was not introduced by the Nigeria Tax Act.

The statement reads:

“The Nigeria Revenue Service (NRS) wishes to address and correct misleading narratives circulating in sections of the media suggesting that Value Added Tax (VAT) has been newly introduced on banking services, fees, commissions, or electronic money transfers.

This claim is categorically incorrect.

“VAT has always applied to fees, commissions, and charges for services rendered by banks and other financial institutions under Nigeria’s long-established VAT regime.”

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LIRS gives employers Jan 31 deadline for filing 2025 tax returns

The Executive Chairman of LIRS, Dr Ayodele Subair, who gave the directive on Thursday, reminded employers that the obligation to file annual returns is in line with the provisions of the Nigeria Tax Administration Act 2025.

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The Lagos State Internal Revenue Service(LIRS) fixed statutory deadline of January 31, 2026, for all employers of labour in the state to file their annual tax returns for the 2025 financial year.

The Executive Chairman of LIRS, Dr Ayodele Subair, who gave the directive on Thursday, reminded employers that the obligation to file annual returns is in line with the provisions of the Nigeria Tax Administration Act 2025.

Subair explained that employers are required to file detailed returns on emoluments and compensation paid to their employees, as well as payments made to service providers, vendors, and consultants, and to ensure that all applicable taxes due for the 2025 year are fully remitted.

He emphasised that the filing of annual returns is a mandatory legal obligation and warned that failure to comply would attract statutory sanctions, including administrative penalties, as prescribed under the new tax law.

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Nigeria To Review Inflation Reporting First Time In 15 years

The agency said the expected spike in December inflation did not reflect actual price movements in the economy but was largely a statistical distortion caused by the rebasing of the Consumer Price Index.

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Nigeria’s National Bureau of Statistics (NBS) has announced plans to revise its inflation reporting methodology.

This followed concerns that December’s year-on-year figure may be artificially inflated due to the impact of last year’s rebasing exercise.

The agency said the expected spike in December inflation did not reflect actual price movements in the economy but was largely a statistical distortion caused by the rebasing of the Consumer Price Index.

Reuters reported that the rebasing, the first in 15 years, adopted December 2024 as the index reference point.

Officials explained that the change is likely to exaggerate the year-on-year inflation figure for December without accurately capturing prevailing market trends.

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