The Nigerian Presidency has defended the proposed Tax Reform Bills, countering criticisms from Bauchi State Governor Bala Mohammed and asserting that the reforms aim to boost production and build a stronger economy. Speaking on Channels TV’s Sunrise Daily on Wednesday, Daniel Bwala, Special Adviser to the President on Policy Communication, emphasised that the reforms are designed to create a production-based economy that benefits all Nigerians.
Bwala explained, “The [Bola Tinubu] administration has communicated in clear terms to governors, stakeholders, and everyone concerned that the Tax Reform Bill is intended to benefit states, not work against them. The bill focuses on encouraging production over dependence on federal allocations, which aligns with the nation’s economic goals.”
Encouraging Legislative Dialogue
Bwala urged governors to address their concerns through dialogue with lawmakers rather than criticising the President. “Instead of scapegoating and blackmailing the President, governors should engage with their legislators. The President has submitted the bill to the National Assembly, which has the responsibility to deliberate and ensure its passage. This reform will primarily benefit the common man,” he noted.
Governor Bala Mohammed’s Criticism
On December 26, Governor Bala Mohammed, who also serves as chairman of the Peoples Democratic Party (PDP) Governors’ Forum, criticised the Tax Reform Bills, alleging that the proposed legislation was biased in favor of certain regions. He described the bills as “calls for anarchy” and warned that their passage could provoke a strong response.
During Channels Television’s 2024 year-end review program, the Bauchi governor clarified his earlier remarks, insisting that his statements were made with good intentions and aimed at fostering national dialogue.
“I cannot be threatened as a governor. I stand by my comments, which are not meant to malign or insult anyone but are intended to promote meaningful discourse,” he stated.
Concerns About the Bills
Governor Mohammed accused the presidency of dismissing public concerns, urging it to engage constructively. He warned that the tax reforms could negatively impact states and worsen poverty levels if passed without adequate consultation.
“These bills, if enacted, may have serious repercussions, threatening the survival of states and further impoverishing citizens,” Mohammed said. He called on the federal government to adopt a more inclusive approach, adding, “As the leader of the federation, the President should engage respectfully with other federating units. Acting with arrogance or impunity is undemocratic and counterproductive.”
Presidency Reassures Nigerians
The Presidency responded by reiterating its commitment to economic reforms that reduce reliance on federal allocations and promote local production. Bwala stressed that the reforms are in the nation’s best interest, urging governors and lawmakers to collaborate in ensuring the success of the bills.
He added, “The reforms aim to create a sustainable economic model that prioritises production over dependence. This shift will ultimately benefit Nigerians at all levels.”
Moving Forward
The Tax Reform Bills have become a polarising issue, with stakeholders divided over their potential impact on production, state finances, and citizen welfare. As the National Assembly reviews the legislation, the discussions will likely shape Nigeria’s economic policies for 2025 and beyond.