Abuja, March 5, 2026 – Vice President Kashim Shettima has strongly defended the Federal Government’s ongoing tax reform initiatives, asserting that the changes are specifically designed to relieve small businesses and low-income earners from the burden of multiple, overlapping levies and charges. Speaking on behalf of President Bola Ahmed Tinubu at a high-profile interfaith Iftar ceremony at the State House in Abuja on Tuesday evening, March 4, 2026, Shettima dismissed opposition claims that the reforms are intended to worsen poverty, describing such criticisms as misleading and far from the truth.
The event, which united Muslim faithful observing Ramadan and Christian leaders reflecting during Lent, featured prominent religious figures, government officials, traditional rulers, and political leaders. It provided a platform for the Vice President to address national unity, economic reforms, and the government’s commitment to inclusive growth amid rising political tensions ahead of the 2027 general elections.
Representing President Tinubu, who was engaged in other official duties, Shettima emphasized that the tax reforms—part of a broader fiscal restructuring agenda—are carefully calibrated to improve living standards rather than impose additional hardship. He highlighted the elimination of duplicative and arbitrary levies that have long plagued informal sector operators, market traders, artisans, and micro-entrepreneurs across Nigeria.
“The same people who are shouting that the tax reform is meant to pauperise the poor are far from the truth,” Shettima declared. “We must go out and tell the people the truth. We need to educate them. We have to mount the pulpits and take the message of government to the Nigerian people and explain the reality to them.”
The Vice President stressed that the government remains acutely aware of the economic challenges confronting millions of Nigerians—particularly in the areas of inflation, cost of living, and access to basic services—and is deliberately introducing policies that aim to lift people out of poverty without placing undue financial strain on vulnerable groups.
Shettima pointed to several concrete gains already emerging from the administration’s economic reforms since May 2023:
A significant increase in Nigeria’s foreign exchange reserves, providing greater stability for imports and economic planning.
The successful unification of multiple exchange rates, which has reduced arbitrage opportunities, improved transparency in forex allocation, and attracted increased foreign investment inflows.
The removal of the long-standing fuel subsidy regime, which he described as a system that had disproportionately benefited a small elite for decades while draining public resources that could have been directed toward infrastructure, education, healthcare, and social protection programs.
The Vice President commended President Tinubu for demonstrating the political courage to tackle these entrenched economic distortions—issues that successive administrations had avoided due to their political sensitivity. “President Tinubu deserves commendation for taking bold steps to address long-standing economic issues that previous administrations had shied away from,” Shettima said.
The tax reform package, which includes the Presumptive Tax Framework for informal sector operators, aims to simplify compliance, introduce low flat rates for eligible micro-businesses (with exemptions for those below certain turnover thresholds), ban coercive collection practices such as roadblocks and cash demands, and promote digital remittance channels to enhance transparency and reduce corruption opportunities. Officials have repeatedly stressed that the reforms expand the tax base through inclusion rather than raising rates on existing payers, aligning with the administration’s goal of sustainable revenue generation to fund development without over-relying on oil.
Shettima called on APC members, supporters, religious leaders, and community influencers to actively counter misinformation by explaining the reforms’ benefits directly to citizens. He urged them to use mosques, churches, markets, town halls, and social media platforms to clarify that the policies are pro-poor, pro-business, and aimed at long-term economic stability.
The interfaith Iftar was jointly hosted by the Office of the Vice President and relevant government agencies to foster religious harmony and national cohesion. Muslim participants broke their fast while Christian leaders offered Lenten reflections, with prayers offered for peace, economic recovery, and the well-being of all Nigerians.
Religious leaders present—including representatives of the Sultan of Sokoto, the President of the Christian Association of Nigeria (CAN), and other clerics—commended the Tinubu administration for prioritizing interfaith dialogue and urged continued focus on alleviating hardship while pursuing necessary reforms.
The Vice President’s remarks come amid intensified political discourse on the government’s economic agenda. Opposition parties, including the Peoples Democratic Party (PDP) and Labour Party (LP), have criticized aspects of the reforms—particularly subsidy removal and exchange rate unification—for contributing to short-term pain for ordinary citizens. In response, government spokespersons have maintained that the measures, though painful in the immediate term, are essential to correct structural imbalances and create a foundation for inclusive growth.
As Nigeria navigates its post-subsidy and post-multiple-exchange-rate era, the Tinubu administration continues to emphasize that fiscal discipline, transparency, and targeted social interventions will ultimately deliver dividends to the majority. Vice President Shettima’s call for active public education on the tax reforms reflects a strategic push to build broader understanding and support for the government’s economic direction.
With political activities expected to intensify in the lead-up to 2027, the administration is increasingly focusing on communicating policy benefits, highlighting early wins in reserves and forex stability, and countering narratives of anti-poor intent.
The interfaith gathering concluded with renewed calls for national unity, patience during the reform transition, and collective effort to build a more prosperous and equitable Nigeria.
