Nigeria’s national revenue exceeded 21.6 trillion naira ($13.5bn) in the first half of 2026, driven by wide-ranging tax and administrative reforms, according to a prominent political support group.

The Director General of the Tinubu Support Group (TSG), Umar Tanko Yakasai, credited the surge to economic policies enacted by President Bola Tinubu aimed at modernising the country’s tax collection machinery.

Tax revenue alone rose to N16.80tn in the first five months of 2026, up from N10.60tn recorded during the same period in 2025—a year-on-year increase of N6.2tn.

Revenue agency overhaul

Speaking in Abuja on Monday, Dr. Yakasai highlighted the recent restructuring of the country’s primary tax authority as a key factor in the revenue expansion.

On 1 January 2026, the Federal Inland Revenue Service (FIRS) was officially rebranded as the Nigeria Revenue Service (NRS) following the implementation of the Nigeria Revenue Service (Establishment) Act, 2025.

The overhaul consolidated revenue collection—previously split across multiple government bodies such as the customs service and maritime authorities—into a single agency. The government has set an annual revenue target between N40.7tn and N50tn for the newly structured entity.

Dr. Yakasai noted that the appointment of Taiwo Oyedele, the architect behind the tax reform framework, as Coordinating Minister of the Economy and Minister of Finance reflected a deliberate strategy to expand the national tax base to fund infrastructure.

Calls for state-level spending

The rise in national receipts has significantly boosted monthly disbursements distributed to Nigeria’s 36 states and local governments via the Federation Account Allocation Committee (FAAC).

Distributable revenue rose by more than 14 per cent during the period, with gross statutory revenue in June 2026 increasing by N1.05tn compared to the previous month.

The support group urged sub-national governments to direct the increased allocations toward poverty alleviation and public welfare programmes, echoing recent recommendations by the World Bank.

“With the bulk of the populace living in the various 36 states, the real impact of policies geared towards reducing poverty will be better felt across the country if sub-nationals prioritise the wellbeing of their people,” Dr. Yakasai said.