News

October 28, 2024

Northern Govs oppose proposed VAT reform,

Northern governors

File image.

…Call for equity and regional development initiatives

By Ibrahim Hassan-Wuyo

The Northern States Governors’ Forum (NSGF) has voiced strong opposition to the recent Tax Reform Bill submitted to the National Assembly, particularly rejecting the proposed shift to a Derivation-based Model for Value Added Tax (VAT) distribution.

The governors argue that this model would disadvantage northern states and other regions, as VAT is currently remitted based on the location of company headquarters rather than where goods and services are consumed.

The stance was made clear in a communique read by Governor Muhammad Inuwa Yahaya of Gombe State, Chairman of the NSGF, at the close of a strategic meeting in Kaduna. This meeting included northern traditional rulers, Chief of Defence Staff General Christopher Gwabin Musa, and other key stakeholders.

Governor Yahaya stated, “In view of the implications, the Forum unanimously rejects the proposed Tax Amendments and calls on members of the National Assembly to oppose any bill that may jeopardize the well-being of our people.”

In a show of unity, the NSGF convened with the Northern Traditional Rulers’ Council, military leadership, and other stakeholders to address pressing regional issues, including recent flood disasters, security challenges, infrastructure needs, and the ongoing electricity blackout affecting most of the north.

Additional Resolutions and Key Areas of Concern:

Sympathies and Solidarity: The NSGF expressed condolences to victims of recent floods in Maiduguri and other northern regions and offered support to families affected by terrorism, banditry, and other crimes. The governors pledged continued collaboration with the federal government to provide relief and rebuild affected communities.

Enhanced Role for Traditional Institutions: Recognizing the influence of traditional rulers, the Forum called for expanded roles for these institutions to strengthen cooperation with security agencies in tackling issues such as kidnapping, banditry, and communal clashes.

Commitment to Security: The Forum commended the federal government and security agencies for recent successes against criminal elements in the region and praised the Chief of Defence Staff, General C.J. Musa, for his effective leadership. The governors called for sustained efforts to consolidate these security gains.

Youth Empowerment: In response to recent youth-led “End Bad Governance” protests, the Forum resolved to increase investment in education, skills development, and job creation, seeking to divert young Nigerians from crime and social vices.

Electricity Infrastructure and Energy Resilience: Addressing the power blackout caused by vandalized transmission infrastructure, the NSGF urged federal intervention to restore electricity and build additional transmission lines to improve regional energy security.

Agricultural Development and Industrialization: With vast agricultural potential in the north, the governors pledged to support farmers with better financing, infrastructure, and modern techniques. They advocated re-industrializing the region by reviving the textile industry and other agro-allied sectors.

Livestock Development: The Forum expressed commitment to President Bola Ahmed Tinubu’s livestock reform initiatives, pledging collaboration with the Presidential Livestock Reforms Implementation Committee.

Climate Change and Flood Mitigation: In response to recent flooding, the Forum emphasized the need to invest in irrigation infrastructure to manage excess water, protect rural livelihoods, and strengthen food security.

Education Initiatives: The NSGF affirmed its commitment to reducing the number of out-of-school children and improving education outcomes throughout northern Nigeria.

Call for National Equity and Fairness

While the NSGF reaffirmed its commitment to national unity and development, the governors called for fairness in implementing policies affecting all regions, to prevent any geopolitical zone from feeling marginalized.

Addressing the economic challenges facing the country, the Forum appealed to citizens to remain patient as state and federal efforts to alleviate economic hardship continue to unfold.