*says siphonage of collected revenue is Nigeria’s problem

The Manufacturers Association of Nigeria has lamented that the Federal Government is placing its N77 trillion debt burden on the manufacturers in the country.

The association also said its members have been hit with high multiple taxes.

In its first quarter Manufacturers CEO Confidence Index on Monday, the Q1 report titled, ‘Special Focus: MAN at the Receiving End of National Debt Crisis,’ MAN noted that the nation’s tax burden which has “domino effects of escalating public debt on the manufacturing sector are endless.”

The association noted that Nigeria’s rising domestic debt is affecting the survival of private investments in the manufacturing sector.

This, it said, reduces the availability of credit facilities and brings about increased lending rates.

It revealed that the depreciation of the Naira is also caused by the servicing of external debts in foreign currencies.

MAN blamed the FG for the unfavourable business climate in the country, citing the “indiscriminate imposition of high and multiple taxes on manufacturers.”

“To start with, rising domestic debt is highly crowding out private investment in the manufacturing sector by reducing credit availability and forcing hike in lending rates.

“External debts are mostly serviced in foreign currencies, hence high demand for foreign currencies further depreciates the naira and makes importation of non-locally produced critical inputs highly expensive for manufacturers.”

“Moreover, higher debt servicing is consuming greater volume of forex and worsening the forex scarcity that has plagued the manufacturing sector for many years. Higher debt repayment requires increased revenue,” the statement added.

The statement read, “The Nigerian government has continued to breed a harsh business environment by its indiscriminate imposition of high and multiple taxes on manufacturers all in a bid to generate revenue.

“Huge public debt led to low foreign investment and foreign capital inflow which worsen the forex scarcity that has remained a bone in the throat of manufactures.”

The association cautioned the government not to see the high taxation on the manufacturing sector “as the last resort” to generate revenue in order to service the nation’s debt.

“Contrary to the popular parlance in the government quarters that Nigeria has revenue problem, the country’s debt crisis is not a result of inadequate revenue and it is anti-growth to view manufacturing taxes as the last resort for curbing the debt problem.”

MAN noted that, despite the country’s debt financing, it’s yet to feel its impact on the sector’s numerous challenges.

“The manufacturing sector which has always been at the receiving end has not felt any significant impact of the debt finance on the numerous challenges that have bedeviled its performance in many years. Infrastructure decadence, forex scarcity, credit crunch and naira depreciation have become bones in the throats of MAN members despite the humongous increase of over 410% in the country’s debt profile in the last eight years.

“Amidst multiple taxes, Nigeria’s real problem is not revenue generation or collection but the siphonage of collected revenue so that they do not reflect in the records.”

“MAN is of the view that debt worth of N77 trillion is an enormous burden to inherit and will most likely limit the achievements of the new administration,” it added.

The association recommended that the FG should:

1. Increase the revenue base by widening the tax net through an enhanced data capture of business operators in the informal sector.

2. Strictly implement the Voluntary Assets and Income Declaration Scheme through the Federal Inland Revenue Service.

3. Further identify and amend the loopholes in the tax laws in order to reduce the leakage of tax revenues.

4. Promote fiscal discipline by reducing the cost of governance and strictly complying with section 41 of the Fiscal Responsibility Act and section 38 (sub-section 2) of the CBN Act.

Source: https://punchng.com/N77trn-debt-may-limit-achievements-in-Tinubus-govt-MAN

excuse don enter... failures everywhere

See excuse... Nigeria will rise again.

Abeg no excuses

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Always their is an excuse for failures but thank God na APC collect d loans

This post is for Nigerians wey get sense

You are coming from the future,
Why?
This is Because in the future, buhari was president, and you experienced all his policies and lies. This should better equip you now to not make the mistakes you did in buharis govt,
the same thing that happened on that government is happening again,
That makes it look like you know the future

By now
You should be familiar with this.
If this govt makes it to 2027
Do not make the buhari mistake of 4 +4
That's if you have made the mistake of remaining in the country,

Use buharis govt as a guide to your survival this period,

This is dejavu all over again.

Yoruba Muslims,
Enjoy

How much did he meet, how much has he borrowed since he was announced president

All of you in this government are mad

Una don dey look for where to blame your failures

Preparing for failure

Them don start to dey explain now. Bunch of clowns.

They couldn't draw the blame of failure down to Jonathan, now they looking for other options to start the blame 🤣

Even me an APC support is shocked. Like I can't fathom the kind of excuse this present govt is giving.

77t debit haaaaaaaaaa

Buhari really cashout o

wetin concern manufacturers association with 77 trillion naira debt and Tinubu's performance?!...... Abi dem dey give them free diesel and petrol to run their industries and to facilitate their logistics ni?

He must perform oooo....na why dem remove subsidy be that ooooo.......

We still dey watch now, in the next three to five months and we are not seeing any form of improvements, na to dey curse baba remain ooo....

Who borrowed the money?

And what was it used for?

adenigga:

*says siphonage of collected revenue is Nigeria’s problem


Source: https://punchng.com/N77trn-debt-may-limit-achievements-in-Tinubus-govt-MAN

One day. One excuse.. failure everyday

Some people will avoid this thread

Too early to start d blame game.
Waiting b d problem of dis MANUFACTURERS ASSOCIATION OF NIGERIA. if Tinubu increase una tax, Mak una increase una profit too na. That's just d business sense.
In doing business, u should hv markup price for ur business so that anytime govt decides to increase tax, ur markup price will automatically increase, dis is not a rocket sense na.
Now that GSK and Co are no longer in Nigeria, people wey get GSK products are swimming in larger profit, product of 12k is now 22k, so that's large profit we are talking about.
Infact Mak Tinubu increase everything, na d hungry vagabond from d fallen demon go still suffer am pass.
Just look at every corner of dis Lagos, it's always south west almajiris that hv taken into begging.
I hardly see hause begging again bcs hausa dun get sense right now.
A month ago, tiger nut and dabic was d business of d day for hausa guys. Now that tiger but and dabic is no longer available, they switched over to yam, potatoes and okro business. That's to show u that south west are about to take over almajiri from our northern brethren.
But just go to any buss top and see how some of their youths and elderly hv resulted in doing almajiri

I fear Labour party supporters.
They like hyping average politicians but will oppose anything Tinubu does.
The question is, what have, can obi ever do differently?
With the way he have managed anambra state in the past?
I will choose Dave umahi more than Peter Obi.

Useless fools

This people will daily dish Nigerians 1000 reason why druggie will fail..

To take responsibility Dey hard for them ..

Just observe their doings.. in reality

No be same Yoruba god Dey shout emilokan..like he don’t there’s challenges already..

Why give us stories

They just can’t manage anything .. will keep saying this .. give this people 50 years in power unoppose .. they will still give you a million reasons they failed .. while sustaining propaganda

Asiwaju is a criminal

Tooh!

Shey na eye dey pain me abi na wetin?

Buhari within a space of 8 years left a complete utter mess. Imagine quadrupling the nation's debt 4 fold with little to show in comparison.

The FG needs to work at generating more tax revenue. The new tax head has promised to streamline taxes and should be music to the ears of MAN. Buhari's introduction of the excise duty on manufacturers of soft drinks for instance went a bit too far.

The huge debt burden was avoidable had the previous government not introduced fixed senseless exchange rates and had deregulated the price of petrol in 2016 when the greatest opportunity for it arose.

obembet:
77t debit haaaaaaaaaa

Buhari really cashout o

Dis one shock u? Una never see anything

No Jonathan to blame .. and he can’t blame his party neither the “ General”

Taking responsibilities is a difficult one from those people

They always always have excuse

These are useful recommendations. I believe they would definitely touch the desk of the president. God bless the Federal Republic of Nigeria!