Peter Obi Condemns Nigeria’s Tax Regime, Warns of Growing Economic Hardship

Peter Gregory Obi has criticised Nigeria’s tax policies, warning they could worsen economic hardship for citizens

Former Anambra State Governor and Labour Party presidential candidate, Mr Peter Gregory Obi, has criticised Nigeria’s current tax regime, warning that it risks deepening poverty and worsening economic pressure on ordinary citizens.

In a statement shared on Saturday, Mr Obi said the country’s tax policies are increasingly burdening Nigerians at a time when inflation, unemployment and rising living costs are already putting pressure on household incomes. He argued that taxation should be designed to support economic growth and productivity rather than place additional strain on people struggling to meet basic needs.

According to him, many small businesses and low-income earners are facing multiple layers of taxation without corresponding improvements in public services or infrastructure. He described the situation as counterproductive, noting that excessive taxation could discourage entrepreneurship and push more citizens into the informal economy.

Mr Obi also stressed the need for transparency and efficiency in the use of public funds, saying Nigerians are more likely to comply with tax obligations when there is visible accountability and measurable impact on social welfare, healthcare, education and security.

His comments come amid ongoing debate over fiscal reforms introduced by the federal government, which officials say are necessary to boost revenue and stabilise the economy. However, critics argue that the timing and structure of the policies have intensified economic hardship, particularly for vulnerable groups.

The federal government has not yet responded directly to Mr Obi’s remarks, but it has previously defended its tax policies as part of broader efforts to strengthen public finances and reduce dependence on borrowing.

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