₦airaland Forum

Lagos Global, Taxation And Lagos Economy

Tayo Ogunbiyi
Governor Akinwunmi Ambode of Lagos State
Lagos, no doubt, has enormous potential for
economic growth. Despite not being an oil
producing state, it remains one of the few states in
the country that is self sustaining. Its growing
economy derives its strength from commercial and
financial activities. Lagos accounts for 20.2
percent of Nigeria’s nominal Gross Domestic
Product (GDP) and 50.7 percent of non oil GDP as
well as being home to about 2,000 industrial
complexes, 10,000 commercial ventures and 22
industrial estates. Aside this, Lagos alone
consumes about 45 percent of petroleum products
in the country.
It is in order to effectively leverage on the
potentials of the Lagos economy for optimal
efficacy that the state Governor, Mr. Akinwunmi
Ambode, made the establishment of the Office of
Overseas Affairs and Investment, generally known
as Lagos Global, one of his earliest tasks. The
office, which was set up to help achieve the vision
of Lagos State as Africa’s Model Megacity and
Global Economic and Financial Hub that is safe,
secure, functional and productive, is designed to
be a one-stop shop for foreign investors. Drivers
of the Lagos Global initiative, are to, among others,
initiate, formulate and evaluate policies relating to
the promotion of inward and outward investments,
liaise with embassies, chambers of commerce,
ministries and agencies on foreign relations,
promote state export potentials, facilitate foreign
direct investment and inter-ECOWAS/African Union
commerce and trade as well as facilitate export
promotion, fairs and exhibitions to showcase the
economic potentials of Lagos.
Since inception, Lagos Global has been providing a
boost for investment drive as well as the general
growth of the state’s economy. Recently, German
manufacturing firm, the Knauf Group International,
expressed its readiness to commence work on a
N14 billion manufacturing firm in the state. This
came to fore when the German Ambassador,
Michael Zenner, led a group of German diplomats
and investors on a courtesy visit to Governor
Akinwunmi Ambode. Other local and international
investors have since been signifying their interests
in doing business in Lagos. In recent time, the
state government has played host to investors
from Dubai, United States of America, Namibia,
Middle East, Europe as well as our own Dangote
Group of Companies. With the state already having
various investments commitment in the region of
about N500 billion from both local and foreign
interests, it is safe to affirm that Lagos would
surmount the present global economic downturn.
It is, however, important to stress that it is in
entrenching the right culture of taxation that the
Lagos’ economy could essentially thrive better. All
over the world, governments rely on taxes paid by
the citizens to finance their activities. Revenue
accrued from tax is used to provide jobs, upgrade
public infrastructure and provide medical care
among others. Taxation helps in maintaining the
stability of any country’s economy. The
significance of taxation to the development of any
economy cannot be over stressed as it is a major
tool for socio-economic advancement. In Lagos
State, it is rather regrettable that only about 3
million Lagos residents out of a taxable adult
population of about 8 million that pays their taxes.
The reality of this development is that only 3
million people bear the burden of over 20 million
Lagosians. It is crucial to stress that, with
dwindling oil revenue, the only way forward for a
growing mega city like Lagos, where peoples’
expectations of government are always high, is to
establish an efficient system of taxation.
This is why the recent announcement that the state
government had widened its tax net to include
more groups and individuals is a welcome one.
Accordingly, the state government has started the
process of overhauling the informal sector with a
view to ensuring voluntary compliance by all tax
payers. Towards this end, three categories of tax
payers, namely market men/women, artisans,
micro, small and medium-scale enterprises and
domestic staff had been classified in the sector.
They are expected to remit one per cent of their
earnings to government’s coffers.
To ensure optimal success of the new tax system,
in addition to the traditional bank portal, new
payment platforms, including POS, online and
other electronics multi-modal system had been
introduced to make it easier for residents to remit
their taxes. Similarly, a review of the tax Form A of
the Personal Income Tax Act had also been carried
out while the guide notes are to be translated into
more indigenous languages and pidgin for effective
understanding. In order to guard against
corruption among State’s Tax Officers, stringent
disciplinary measures have been put in place.
Being a melting pot of people from diverse parts of
the world as well as the commercial and economic
hub of West Africa, Lagos has peculiar
infrastructure needs. There is, perhaps, no other
state in the country that contends with as much
pressure on its infrastructure as Lagos. The
financial force required to promote Lagos
infrastructure to the standard of developed mega
cities of the world is, undoubtedly, enormous. This
is why taxable Lagos residents must partner with
the state government through prompt and
voluntary payment of taxes in order to attain the
Lagos of our collective dream. This is the path that
is toed by all advanced democracies of the world.
This is the only way for Lagos to achieve a stable
and prosperous economy. This is the right thing to
do.


http://www.pmnewsnigeria.com/2016/03/16/lagos-global-taxation-and-lagos-economy/

Sometimes, people will just come up with silly statistics about thing and not care to use common sense to know if d thing is possible.... Minus Niger delta, which other state is an oil producing state. So Lagos non oil revenue is bigger than the revenue of kano, kaduna, onitsha, aba, benue, abuja, sokoto just to mention a few COMPINED. Have u eaten today cos hunger can do and undo

This is not a new news.. only a group of people will against this motion.
only nah we. nah us. nah we dey feed this nation group will say no to this.....
Long live Lagos state
long live Tinubu

Lagos is a potential asset to Nigeria
it is the obvious truth
God Bless Lagos
God Bless Nigeria

BLINGZ88:
Sometimes, people will just come up with silly statistics about thing and not care to use common sense to know if d thing is possible.... Minus Niger delta, which other state is an oil producing state. So Lagos non oil revenue is bigger than the revenue of kano, kaduna, onitsha, aba, benue, abuja, sokoto just to mention a few COMPINED. Have u eaten today cos hunger can do and undo

You are very funny.That Lagos controls 50.7% non oil GDP is nothing but truism.Lagos happens to be the 6th largest economy in Africa.Stats mostly don't lie but what you think is reality sometimes falls your hand.If you have your stats in contrary of this,post it.


https://en.m.wikipedia.org/wiki/Lagos_State


http://m.guardian.ng/features/focus/can-lagos-peoples-budget-deliver-peoples-expectations/

All investments in Lagos state belongs to the igbos.

Oya, let me rephrase,

70% of investments in Lagos belongs to the igbos...

If igbos leave Lagos today, the economy go collaspe...

Don't quote me anywhere!



I just chose to revel in my Euphoria of wanton senslessness like SOME of my brothers up East!

Remove the oil and gas headquarters and the banks owned by Niger delta and watch Lagos turn into another
Detroit in Michigan.

Lagosians have every reason to be forever grateful to Niger delta.

Lagos has a tape worm Economy that is sustained on Niger delta wealth

If anambra is like a man driving his car hard in no particular direction then Lagos is like a mad man driving another person's car hard and away from the man.

God bless the Niger delta for their large heart