Saturday, March 30, 2018 08:00 AM / Proshare
From the Editor’s Desk
One cardinal target of the on-going administration is to improve or bolster Value Added Tax to Gross Domestic Product from 6% to 19%; eventually providing policy makers with ample room to replenish the already diminished fiscal capacity, at the same time reducing the nation’s absorption rate of domestic debt. Moreover, the calls to shore up government finances by external organization have become louder so as to reassure the market of its fiscal sustainability.
According to the National Bureau of Statistics (NBS), the total taxes accrued solely from sectorial distribution stood at N121 billion at the end of Q4 2017, implying a 3% dip when compared to the previous quarter. However, the full year sectorial VAT distribution was N972 billion, thus reflecting a 19.2% growth when compared on a year on year basis (YoY), moreover making it 0.8% of GDP.
A closer look at the figures showed that the total local non import tax rose slightly from N469 billion to N510 billion. However, the uptick in foreign non import tax and NSC import provided the proper leg wind for an increase in sectorial distribution of VAT. The rising trajectory in NSC import VAT implies a growth in import demand due to exchange rate stability.
Fig 1: Sectorial Distribution of VAT
In the week ahead, the Monetary Policy Committee will convene for the first time in 2018. The mirror on the wall reflects a monetary policy committee behind a fast ticking clock as it had lost considerable ground due to the political imbroglio. Regardless, the new guards will avoid rocking the boat, thus a neutral position supported by the need for more clarity will be espoused by the committee.
However, the following must be highlighted: fiscal policy has come short of the desperately needed “angel in the house”, posed with the responsibility of repairing the human index. Lastly, the cost of the prolonged imbroglio has fuelled lag effects. Therefore monetary policy can neither withdraw from providing accommodation nor consistently keep outsourcing the responsibility of growth to the fiscal side.
Tuesday, April 3, 2018
The 260th Monetary Policy Committee Meeting of the Central Bank of Nigeria will commence today. The 2018 Code School organized by WAAW (Working to Advance STEM Education for African Women) Foundation will commence today in Lagos and Abuja.
Wednesday, April 4, 2018
Zenith Bank will be marked down today haven declared a dividend of N2.45.
The Kaduna State 3rd Economic and Investment Summit themed “Promoting Economic Growth through Partnerships” will commence today, while the Emerging Political and Economic Leaders’ Summit holds today in Abuja.
The 7th Detail Business Series focusing on “Navigating the Evolving Real Estate Marketplace: Dealing with Market Disruptors” will hold today in Lagos, while the Lagos Business School Executive Breakfast Session holds.
The General meeting of the Association of Professional Women Engineers of Nigeria (APWEN) Lagos Chapter holds today, while the Goethe-Institut Nigeria with support of the German foreign office Lagos will today commence a three day conference for the German language teachers in Nigeria.
The Nigeria International Poultry and Livestock Expo 2018 will commence today in Ibadan, just as the Safety Summit Lagos 2018 commences with the theme “Taking Ownership and Developing Tactics to Improve Compliance”.
Thursday, April 5, 2018
The Ministry of Foreign Affairs will today launch the Nigerian Economic Diplomacy Initiative (NEDI) to promote economic growth and development through facilitation of market access, foreign direct investment, cross border trade and inclusion of skills of Nigerians in diaspora for national development.
The HR Expo Africa 2018 will commence today in Lagos with the theme “Leading and Managing Culture Change in Organisations”, while CoinFest Nigeria holds in Abuja.
A Leadership Engagement Session on Generation-Y and Workplace Innovation themed “Do we then kill the Millennials?” will hold today at the CIBN, Lagos.
Friday, April 6, 2018
The National Bureau of Statistics will today release the Q3 2016, Q4 2016 and Full Year 2017 Air Transportation Data.
The Lagos PRCAN Masterclass on “Writing for PR 2.0” will hold today in Lagos, while the Alat Open Office Event will in Lagos and Northcourt will hold its 2-day Practical Workshop for Real Estate Entrepreneurs.
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