Nigeria’s federal government generated ₦6.9 trillion in revenue during the first quarter of 2025 (January–April), marking a significant 40% increase over the ₦5.2 trillion collected in the same period in 2024, Finance Minister Wale Edun disclosed.
Addressing stakeholders in Abuja, Edun attributed the surge to aggressive implementation of fiscal reforms—including automation, revenue leak closures, and foreign exchange adjustments. He highlighted the government’s leveraging of technology in ministries, departments, and agencies to enhance compliance and remittance .
The improved fiscal discipline was further evident in the reduction of the debt service-to-revenue ratio to 60%, down from a staggering 150% in Q1 2023 under previous administrations . Edun remarked, “Through improved transparency, automation, and plugging revenue leakages, we’ve moved from an annual revenue of about ₦12.5 trillion to over ₦20 trillion in 2024” .
He acknowledged challenges in cash remittances by revenue-generating agencies, often caused by delayed audits, but assured stakeholders these were being addressed under existing finance laws .
Edun also emphasised that rising revenues are empowering economic diversification efforts. He cited the operationalisation of the Dangote Refinery and commitments from multinational corporations like Shell, which pledged $5.5 billion in additional investments despite speculation of divestment .
Regarding the debt service improvement, he noted, “As of now, there is no resort to ways and means. Debt service to revenue stands around 60 per cent by end of 2024” .
Economists argue that sustained revenue growth, coupled with disciplined debt management, positions Nigeria for budgetary self-reliance and stronger fiscal credibility. Edun indicated that the government is now ready to boost spending on infrastructure, social services, and industrial development without resorting to external borrowing .
Looking ahead, the Senate has urged the Nigeria Customs Service to raise its 2025 revenue target to ₦10 trillion, capitalizing on this momentum . Edun reaffirmed that the federal government remains committed to transparency and fiscal reforms aimed at checkmating leakages and accelerating growth .
Achieving similar revenue growth in Q2 and beyond could underpin Nigeria’s ambitions for sustained GDP expansion, improved public investment, and poverty reduction strategies—provided structural reforms continue and remittances remain robust.
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