FIRS changes name to NSR, as Dr Adedeji says revenue rises to N3.6trillion

In line with the new Tax Law, the Federal Inland Revenue Service, FIRS has changed its name to Nigerian Revenue Service, NRS, even as the Executive Chairman, Dr Zacch Adedeji has revealed that Nigeria’s monthly revenue collection surged from N711 billion in May 2023 to N3.64 trillion last month.

He stated this at the Meet-the-Press series organised by the Presidential Communications Team in Abuja on Tuesday, stressing that non-oil tax collections experienced the sharpest rise, hitting over N1 trillion from N151 billion during the same period of 28 months.

Oil revenue, according to him, increased considerably, with receipts rising from N96 billion to N644 billion.
Value Added Tax (VAT) receipts more than tripled to N723 billion from N218 billion, while customs revenue surged to N322 billion from N106 billion.

The Nigerian Upstream Petroleum Regulatory Commission, he said, reported remittances jumping to N745 billion from N125 billion. The Nigerian National Petroleum Company Limited(NNPC Ltd) contributed N111 billion in September 2025.

The high rise in revenue, the asserted, confirmed President Bola Ahmed Tinubu’s statement last week that the country’s revenue projection for the year was surpassed at the end of August. But he did not provide the figures.
NRS Chairman attributed the revenue increase to the tax reforms initiated under President Tinubu’s administration.
Adedeji said: “If you look at a NUPRC, which is royalty collection, you will see that it was N125 billion.

In September, it is N745 billion. The increase is roughly 500, and that is the oil production increase that I mentioned…. I’m putting figures and why this one is important, most especially for us here, is for you to understand…. I will not say people should not be involved in politics or be political. For you (reporters), it is your duty to actually educate people to know that we are here, just a little bit more than two years, and the decision that we’ve taken is right, this is the result.

“If you look at oil, which is taxed, you see the increase. But when you look at the total accruals to Federation as of May 2023, it’s N711 billion. That is what we met. As of August, you will see that the total accrual is N3.6 trillion. That is an increase of 411 per cent, which is just a result of the economic reform decisions that Mr President has taken.”

Borrowing integral to a viable economy
He described critics of government borrowings as “container economists.”

He said it was essential for such individuals to understand that borrowing is an integral part of a viable economy.

Adedeji said that “container economists” often download unverified claims from social media and raise alarms about Nigeria’s debt profile.

“As much as they fight me, sometimes you ask if they even understand the right questions, or are just downloading WhatsApp messages,” the NRS boss added.

He explained that borrowing, when responsibly managed, sustains growth, boosts infrastructure financing and stabilises an economy.

“Borrowing is not a problem. There is no country or individual in the world that survives based only on income. Borrowing is part of the budget we submit and what is approved by the National Assembly. It is part of the ecosystem of a viable nation,” Adedeji said.

The NRS boss advised that borrowings by the government should not be misconstrued as a sign of fiscal weakness, but a deliberate strategy to match long-term investments with revenue flows.

He illustrated his suggestion with the example of road construction. “When you borrow to build roads, those who use them in future will pay their fair share through taxes. You don’t need to spend your entire lifetime’s resources on infrastructure that will outlive you. That is why borrowing exists.”

On the controversial Ways and Means advances from the Central Bank of Nigeria(CBN), Adedeji clarified that the Tinubu administration had taken steps to end the practice of printing money without backing.

He said: “We have stopped Ways and Means. The whole loan has been collateralised and recognised in the Federal Government’s books as debt.

‘’We are paying both principal and interest, and that is why there is stability in the system and no pressure on the exchange rate.”

On recent fiscal reforms, Adedeji reiterated that only two components of the newly enacted tax laws—specifically the Tax Act and Tax Administration Act—will commence on January 1, 2026, in line with the federal fiscal year cycle.

“Company Income Tax is assessed on a preceding year basis, meaning profits made this year are taxed next year. That is why it is logical and strategic to commence in January. The President is a planner, and that is why he insisted commencement should align with the fiscal year,” he said.

However, Adedeji said that administrative changes, including the renaming of the Federal Inland Revenue Service (FIRS) to the NRS, took immediate effect.

He restated that the ongoing reforms will harmonise subnational levies, reduce corporate tax rates, and expand the tax net as part of broader fiscal and constitutional reforms.

“Our aim is not just to raise revenue, but to build a fair, efficient, and sustainable system that supports growth and gives confidence to investors,” Adedeji stated.