{"id":8843,"date":"2025-09-24T09:16:33","date_gmt":"2025-09-24T09:16:33","guid":{"rendered":"https:\/\/beadysword.com.ng\/blog\/?p=8843"},"modified":"2025-09-24T09:16:47","modified_gmt":"2025-09-24T09:16:47","slug":"firs-defends-nigerias-borrowing-framework-as-a-legitimate-budget-component","status":"publish","type":"post","link":"https:\/\/beadysword.com.ng\/blog\/2025\/09\/24\/firs-defends-nigerias-borrowing-framework-as-a-legitimate-budget-component\/","title":{"rendered":"FIRS defends Nigeria\u2019s borrowing framework as a legitimate budget component."},"content":{"rendered":"
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The Federal Inland Revenue Service, FIRS, says debt remains a legitimate component of every national budget.<\/p>\n

The FIRS chairman, Zacch Adedeji, said this on Tuesday while addressing journalists during a session of the Meet-the-Press series organised by the Presidential Communications Team, at the Presidential Villa, Abuja.<\/p>\n

Adedeji defended the federal government\u2019s borrowing plan, announcing that Personal Income Tax, PIT, and Company Income Tax, CIT, reforms would take effect from January.<\/p>\n

He equally stated that federal revenue collection rose to N3.64 trillion in September 2025, a 411 per cent jump from N711 billion in May 2023.<\/p>\n

The FIRS further explained that the administration of President Bola Tinubu had ended the practice of Ways and Means financing through the Central Bank, converting the facility into a structured federal loan.<\/p>\n

According to him, the government is now servicing the debt through both principal and interest repayments, a measure he said has contributed to stability in the economy and eased pressure on the exchange rate.<\/p>\n

\u201cBorrowing is not a problem. It is part of every viable nation\u2019s ecosystem. No country in the world survives entirely on its own revenue.<\/p>\n

\u201cWhen the government borrows from banks, it pays interest; banks pay salaries from that, and taxes are collected from their profits. It is a cycle that sustains continuity,\u201d he said.<\/p>\n

The FIRS boss noted that every budget has three components: expenditure, revenue, and loans.<\/p>\n

He argued that as long as borrowing falls within what was approved by the National Assembly, there should be no controversy.<\/p>\n

\u201cBorrowing to fund infrastructure, like roads, yields future tax revenues from businesses and individuals who benefit from those projects. It is a sustainable approach,\u201d he said.<\/p>\n

He also confirmed that beginning January, PIT and CIT reforms will be rolled out to expand Nigeria\u2019s revenue base, in line with the administration\u2019s drive to reduce overreliance on borrowing.<\/p>\n

On the rise of revenue, a deck shared by the Tax Chief showed that the increase was driven by higher non-oil receipts.<\/p>\n<\/div>\n

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The Federal Inland Revenue Service, FIRS, says debt remains a legitimate component of every national budget. The FIRS chairman, Zacch Adedeji, said this on Tuesday while addressing journalists during a session of the Meet-the-Press...<\/p>\n","protected":false},"author":2,"featured_media":8844,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[],"class_list":["post-8843","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news"],"aioseo_notices":[],"aioseo_head":"\n\t\t\n\t\n\t\n\t\n\t\n\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t