Nigeria’s revenue drive has gained significant momentum, with the Nigeria Revenue Service (NRS) generating an impressive N21.6 trillion in the first six months of 2026. According to the Economic Snapshot Report comparing 2023 and 2026 performance, the figure represents a 49 per cent increase from the corresponding period in 2025. The surge has been largely attributed to sweeping tax reforms, the digitalisation of tax administration, and new measures aimed at improving oil revenue remittances into government coffers.
The report, obtained from the Presidency, highlighted a steady rise in tax collections over the last three years. Revenue increased from N12.3 trillion in 2023 to N21 trillion in 2024 and climbed further to N28.3 trillion in 2025. Officials noted that non-oil revenue now contributes about 76 per cent of total collections, while Nigeria’s tax-to-GDP ratio has improved from 10.3 per cent to 13 per cent. These gains reflect ongoing efforts to broaden the tax base and strengthen domestic revenue generation.
A key factor behind the remarkable performance is the rollout of major tax reforms and technology-driven systems. The introduction of a national e-invoicing platform for large taxpayers, alongside the implementation of four new tax laws that took effect in January 2026, has significantly improved compliance and transparency. The transformation of the Federal Inland Revenue Service into the Nigeria Revenue Service also expanded the agency’s mandate, allowing it to consolidate previously fragmented revenue streams under a central collection framework.
The report further credited Executive Order 9, signed in February 2026, for delivering a major boost to government earnings. The directive requires upstream oil and gas operators to remit royalties, taxes, and production-sharing contract profits directly to the Federation Account. As a result, monthly Federation Account receipts jumped by 60 per cent, rising from N1.8 trillion in February to N2.88 trillion in March 2026. Analysts believe the move has closed long-standing loopholes that previously allowed portions of oil-sector earnings to bypass the federal revenue pool.
Beyond revenue generation, the report pointed to broader improvements across the economy since May 2023. External reserves reportedly rose to $50.11 billion, crude oil production increased to about 1.9 million barrels per day, and domestic refining capacity expanded dramatically, enabling Nigeria to record its first net petrol export in March 2026. While the government remains optimistic, officials acknowledge that there is still room for growth, particularly as Nigeria works towards its long-term goal of raising the tax-to-GDP ratio to 18 per cent and achieving the ambitious N40.7 trillion revenue target set for 2026.
source: punch