What's happened
Nigeria’s government has disclosed plans to clear backlogs on the Export Expansion Grant and to reform non-oil export financing while reviewing fiscal reforms to inform the Finance Bill 2027. The government is moving to restructure EEG payments and set up a trade facilitation fund, while a technical sub-committee is evaluating VAT, withholding tax, and other reforms to improve investment and competitiveness.
What's behind the headline?
What’s changing
- EEG payments are being restructured with a sustainable framework, including a trade facilitation fund to support non-oil exports.
- A Finance Bill 2027 is under consideration, with updates to VAT thresholds, withholding tax, and digital data sharing to reduce compliance frictions.
Why it matters
- The moves aim to advance non-oil export growth and diversify the economy, potentially affecting exporters, tax regimes, and investment climate.
- Stakeholder input has shaped proposals, highlighting a push for simpler compliance and stronger taxpayer rights.
Risks and questions
- How quickly will the EEG backlog be cleared, and what are the implications for public debt management?
- Will the trade facilitation fund be effectively managed and independently overseen?
- How will changes in the Finance Bill 2027 balance fairness, efficiency, and competitiveness?
How we got here
The EEG backlog has lingered since 2020, with the government saying payments will be cleared through inter-ministerial coordination and new funding mechanisms. Separately, a technical sub-committee has been established to refine the Finance Bill 2027, building on 2025 reforms and addressing implementation gaps.
Our analysis
All Africa reports on the EEG reform and the Tax Reform sub-committee, detailing government plans to clear EEG backlogs and restructure the scheme, and to draft Finance Bill 2027 with broader fiscal reforms. The coverage highlights inter-ministerial coordination and stakeholder submissions, including expectations around VAT, WHT, and tax simplification.
Go deeper
- What exactly will change for exporters in the EEG scheme?
- When will the Finance Bill 2027 be ready for the president’s signature?
- How will the new tax reforms affect small businesses?
More on these topics
-
Central Bank of Nigeria - Bank
The Central Bank of Nigeria is the central bank and apex monetary authority of Nigeria established by the CBN Act of 1958 and commenced operations on July 1, 1959.
-
Debt Management Office - Government agency
The UK Debt Management Office is the executive agency responsible for debt and cash management for the UK Government, lending to local authorities and managing certain public sector funds.
-
Abuja - Capital of Nigeria
Abuja is the capital city of Nigeria located in the centre of the country within the Federal Capital Territory. It is a planned city, designed as a new national capital city to replace Lagos, and was built mainly in the 1980s, replacing the country's most