Business
Nigeria Hits N2.03trn From VAT Earnings Records N530bn Rise
Nigeria generated a total of N2.03trillion from Value Added Tax collections in 2021, according to data from the National Bureau of Statistics.
This amount represents an increase of N530billion when compared to N1.53trillion generated in 2020.
A report released by the NBS on Friday revealed that the country earned N563.72billion from VAT in Q4, showing a growth of 12.63 per cent, quarter-on-quarter.
However, on a year-on-year basis, VAT collections in Q4 2021 increased by 23.98 per cent from Q4 2020, the report added.
In December, The Tide’s source had reported that in the first, second, and third quarters of 2021, total VAT collected were N496.39billion, N512.25billion, and N500.49billion respectively compared to the corresponding figures of last year at N324.58billion, N327.20bn, and N424.71billion respectively.
“This shows higher revenue in the first three quarters of 2021, revealing an improvement in collections.
“On a year-on-year basis, this upsurge shows growth rates of 52.93 per cent in Q1 2021, 56.56 per cent in Q2 2021 and 17.84 per cent in Q3 2021,” the NBS had said.
Looking at the sectoral distribution of local revenue generated over the period, collections from the other manufacturing activity; professional services activity; and state ministries and parastatals accounted for the top three largest shares of revenue in Q1 2021 with N49.41bn (21.97 per cent), N42.5billion (18.9 per cent), and N26.96billion (11.99 per cent) respectively.
The NBS added that non-import VAT (local) was N224.85billion, non-import (foreign) VAT amounted to N171.66billion, while NCS-Import VAT stood at N99.88billion.
Similarly, other manufacturing activity: professional services activity and commercial and trading activity, accounted for the top largest collections in Q2 2021 with N44.89billion (23.95 per cent), N29.30billion (15.63 per cent) and N21.96billion (11.71 per cent) respectively.
Non-import VAT local was N187.43billion in Q2, lower than Q1; non- import (foreign) VAT stood at N207.69billion, higher than Q1, while NCS-Import VAT rose to N117.13billion, an improvement from the preceding quarter.
For Q3 2021, NBS data shows that manufacturing activity; Information and Communication Technology activity; and mining & quarrying activity accounted for the top three largest share of total revenue collected sector-wise, representing 30.87 per cent (N91.20billion), 20.05 per cent(N59.25billion) and 9.62per cent (N28.44billion) respectively.
Under the quarter, the bureau said collections of non-import VAT (local) and NCS-Import VAT were higher than the Q2 2021.
For Q4 2021, the NBS said, “In terms of sectoral contributions, the top three largest shares in Q4 2021 were manufacturing with 30.86 per cent; information and communication with 18.72 per cent and mining and quarrying with 9.91 per cent.”
MoniePoint Inc. a digital financial firm in Nigeria, has said it is empowering community pharmacists across the country with innovative payment solutions to improve access to drugs.
The financial firm said it had also provided loans for pharmacists under the aegis of the Association of Community Pharmacists of Nigeria (ACPN) to drive healthcare delivery in the country.
MoniePoint in a release titled, “Inside Nigeria’s community pharmacies: How Moniepoint drives healthcare access with payments and funding”, has reaffirmed its commitment to providing digital payment solutions to improve health outcomes in Nigeria.
The release examined how community pharmacies play a crucial role as vital access points for medical care in Nigeria, especially in areas with limited hospital or clinic access.
According to the release, the ACPN National Chairman, Ambrose Igwekwam, highlighted the critical role played by community pharmacies in Nigeria’s healthcare system over the years.
Igwekwam, however, expressed concerns over the challenges confronting the nation’s pharmaceutical industry which he said was hindering access to affordable medicines.
The pharmacist listed poor infrastructural systems, power, transportation, regulatory bottlenecks, importation dependency, and limited research opportunities as major challenges facing the pharmaceutical sector.
He also stressed the need for robust collaborative efforts with institutions like Moniepoint to strengthen the sector.
“As Nigeria continues to grow, improving local pharma manufacturing to meet the demands of this growth presents a key opportunity for us all.
“There is also the African Continental Free Trade Area Agreement, which is expected to boost our industry, especially when we start producing our drugs locally, which will provide the much needed foreign exchange from exports.
“We are also seeing advancements in digital health and technology which would hopefully deepen the practice of e-prescription in Nigeria”, the ACPN boss said.
Corlins Walter
In order to enhance customer service and streamline operations, the Chartered Insurance Institute of Nigeria (CIIN) has called on stakeholders in the insurance industry to embrace Artificial Intelligence (AI).
The President of the institute, Yetunde Ilori, made this call at the 2024 Office Representatives Committee (ORC) Workshop, organised by the institute, with the theme “AI and the Future of the Insurance Industry”, in Lagos.
Ilori at the event, emphasised the importance of AI adoption, noting that it was not a threat to jobs but rather a tool to improve efficiency across the insurance sector.
“It is not about AI taking over our jobs, but about us using AI to simplify processes and give maximum satisfaction to all the customers we serve whether as underwriters, brokers, loss adjusters, or in educating our members”, she said.
The workshop, which brought players in the insurance sector together, aimed to address how AI could be leveraged to transform business processes and improve customer interactions.
The Chairman of the ORC, Monica Nwachukwu, underscored the role of AI in modernising the industry, adding, “AI can automate customer and claims processes, allowing insurers to provide faster and more efficient services to their customers”.
She explained how AI could help extract data from legacy systems, enhancing decision-making processes.
“By integrating AI with APIs, insurers can feed valuable data into AI solutions to improve operations and customer service”, she added.
In his address, the Managing Partner of A4S and Training Heights, Orlando Odejide, stressed the need for companies to align their strategies with future technologies like AI, especially as they prepare for 2025.
“Any organisation that wants to grow into the future must have its strategic plan in place. If your strategy for 2025 is not ready, it should be done by October”, he advised.
He encouraged participants to think critically about how AI could be integrated into their business models to ensure they remain competitive.
“The idea is for you to use this workshop as a platform to think about your organization and how AI can help streamline your processes and improve growth”, Odejide noted.
In order to gain global respect and recognition, the National Space Research and Development Agency (NASRDA) has reaffirmed its determination to pursue its goal in ensuring that Nigeria’s space capabilities are recognised on the world stage.
The agency also reaffirmed its commitment to positioning Nigeria as a key player in the global space economy.
In a statement by the Director of Media and Corporate Communications, Dr. Felix Ale, NASRDA revealed that the Director-General of the agency, Matthew Adepoju, emphasised this during recent engagements at the 79th United Nations General Assembly and the Nigerian Association of Chambers of Commerce, Industry, Mines and Agriculture (NACCIMA) and Global Alliance Business Association international conference in Michigan, United States.
The statement noted that Adepoju outlined a forward-thinking agenda, stressing the importance of Nigeria’s space programme as a leader in research, exploration, and technological innovation.
“Our goal is to ensure that Nigeria’s space capabilities are recognised on the world stage.
“We must foster collaborations with global space agencies to enhance our satellite capabilities and technological infrastructure”, he stated.
The NASRDA boss said the agency is focusing on enhancing satellite capabilities, expanding international collaborations, and leveraging space science for national development.
He said NASRDA will have no stone unturned in pursuit of excellence, ensuring the agency secures the necessary resources and recognition to propel it forward.
“The relationships we build today will pave the way for tomorrow’s advancements in space science.
“Innovation and progress thrive in an environment built on collaboration and inclusivity”, he stated.
He emphasised that with the support of the government, international partners, and a dedicated team, NASRDA is poised to make significant strides in the evolving global space landscape.
“We are on the brink of a new era for Nigeria’s space agency. Together, we will ensure our nation stands out in the global space economy”, he said.
Corlins Walter