The Coalition of Northern Groups, Taraba State chapter, has raised concerns over the proposed Tax Reform Bill by President Bola Ahmed Tinubu’s administration, describing it as a calculated attempt to favour Southern Nigeria at the expense of the North.
In a statement signed by its coordinator, Comrade Idris Ayuba, and made available in Ilorin, the group criticised several federal government policies, including the removal of the petroleum subsidy, land-border closures, and the proposed tax reforms, stating that these measures disproportionately affect Northern Nigeria.
The group lamented that the North bears the brunt of the economic hardship caused by the policies, which they claim exacerbate poverty and unemployment. They argued that the land-border closure particularly favours Southern Nigeria by boosting demand for locally produced goods in the South, increasing customs revenue, and enhancing access to ports and international trade routes.
“The closure has resulted in significant losses for traders and business owners in the region, exacerbating poverty and unemployment,” Ayuba said.
He added, “The Southern region has benefited from increased revenue generated from customs duties and taxes on imported goods. This policy has created an imbalance in the distribution of economic opportunities, marginalising Northern Nigeria.”
The CNG further criticised the proposed Tax Reform Bill, arguing that it would worsen the economic disparity between the North and the South. They claimed the bill’s revenue-sharing formula could reduce the North’s revenue allocation, hindering its ability to fund development projects and provide essential services.
“One potential impact is a reduction in the region’s revenue allocation, which could hinder its ability to fund development projects and provide essential services to its population. Northern Nigeria is already grappling with significant development challenges, including poverty, infrastructure deficits, and limited access to education and healthcare,” the group stated.
They warned that the reforms could widen the economic gap between the regions, potentially leading to a “brain drain” as individuals seek better opportunities elsewhere.
“This policy, if allowed to pass, will bring about national disintegration, strife, and bad blood between the North and South,” the statement read.
The group expressed concern about the potential impact of the reforms on the North’s agricultural sector, a significant contributor to the national economy. They argued that the reforms could further marginalise the region’s farmers, who play a vital role in feeding the nation.
“The Northern farmers produce a significant portion of the country’s food, which deserves recognition and compensation. It’s essential to recognize the historical and structural inequalities that have hindered the North’s economic development,” they said.
The CNG urged policymakers to address the existing inequalities and ensure that the reforms promote fairness and inclusivity. They advocated for a more equitable revenue-sharing formula that acknowledges the North’s unique challenges and contributions.
“A more equitable revenue-sharing formula would acknowledge the North’s unique challenges and contributions, ensuring that the region receives a fair share of the national revenue,” the group stated.
The group also decried the neglect of federal projects in the North, citing the Mambilla Hydropower Project and the Jalingo-Numan Road project as examples of unfulfilled commitments.
“The Mambilla Hydropower Project, estimated to cost $5.8 billion, has faced unexplainable delays despite being expected to generate 3,050 megawatts of electricity. Similarly, the Jalingo-Numan Road project has lingered for more than 15 years without a tangible commitment to start it,” they said.
The CNG stressed that the lack of investment in critical infrastructure perpetuates disparities between the North and the South, hindering economic growth and job creation in the region.
The group called on the federal government to reconsider its policies and ensure they do not deepen regional inequalities. “It’s imperative to address these disparities to foster national unity and economic stability,” the statement added.
