The federal government has allayed fears raised by stakeholders on the current 14 per cent export tariffs imposed by United States President Donald on Nigeria.
Minister of Finance and Coordinating Minister of the Economy, Wale Edun made the disclosure yesterday in Abuja during the Inaugural Corporate Governance Forum organized by the Ministry of Finance Incorporated (MOFI) with the theme: “Ensuring Value Creation in State Owned Enterprises Through Better Corporate Governance.”
Speaking at the Forum, he said “On Trump 14% Tariff on Nigeria exports to the US, Nigeria already imposed a 27% tariff on US exports to Nigeria. However, oil and minerals related exports are exempted in this new tariff by Trump.
“Nigeria-US Trade has been in surplus in the last 3 years (2022-2024). Nigeria’s export to the US was N1.8 trillion, N2.6 trillion & N5.5 trillion in 2022-2024 respectively. Fortunately, oil and mineral exports accounted for 92% implying oil and minerals exports amounted to N5.08 trillion in value while non-oil was just N0.44 trillion.
“Consequently, the tariff effect on exports is negligible if we sustain our oil and minerals exports volume,” he explained.
US President Donald Trump last week announced 14 per cent export tariffs on Nigeria and other African countries which has sparked controversy over the ongoing trade war between the United States of America and the World.
Mr. Edun however noted that the adverse effect of the tariff on Nigeria will be through oil price plunge.
On efforts made by the government, he said “We are intensifying efforts to ramp up crude oil production to curtail any price effect. We are also focusing on non-oil revenue mobilization by FIRS and Customs.
“Also, there will be budget adjustment and prioritisation where possible, and also
Innovative non-debt financing strategies. Notably, State-Owned Enterprises (SOEs) form a critical component of the national economic framework.”
Also speaking, the Managing Director of the Ministry of Finance Incorporated, Dr. Armstrong Takang stated that the country is now focused on Equity based fundraising over debt, adding that state-owned agencies will play a crucial role in capital mobilization.
SOURCE: DAILYTRUST
