The Comptroller-General of the Nigeria Customs Service (NCS), Bashir Adeniyi, has disclosed that the Federal Government approved import duty waivers worth ₦34 trillion in 2025, saying the incentives significantly reduced the agency’s revenue-generating capacity.
Adeniyi made the disclosure on Monday during an investigative hearing of the Senate Committee on Finance with revenue-generating agencies in Abuja.
According to him, about 60 per cent of the approved Import Duty Exemption Certificates (IDECs) were granted for the importation of military hardware in response to Nigeria’s security challenges.
He explained that other duty waivers covered imports of Compressed Natural Gas (CNG), electric and hybrid vehicles, healthcare equipment, medical supplies, industrial machinery, manufacturing inputs and food under government intervention programmes.
“IDEC approvals reached about ₦34 trillion in 2025, with 60 per cent granted for military hardware procurement because of the country’s security situation,” Adeniyi said.
While acknowledging that the waivers affected Customs revenue, he argued that such fiscal incentives should not be judged solely by their impact on government earnings.
According to him, the policy is also intended to support economic growth, improve healthcare, encourage local manufacturing and address other national priorities.
He, however, urged the Federal Government to strengthen monitoring mechanisms to ensure beneficiaries deliver the intended outcomes, including lower consumer prices, increased industrial production and improved access to healthcare services.
The Customs boss also revealed that the service generated ₦4.5 trillion as of June 30 against its ₦11.04 trillion revenue target for 2026, leaving about ₦7 trillion to be collected before the end of the fiscal year.
The hearing also highlighted disagreements over the remittance of operating surpluses by some government agencies.
Representing the Fiscal Responsibility Commission (FRC), Deputy Director of Monitoring and Evaluation Bello Gulmare alleged that the Nigeria Customs Service owed ₦8.9 billion in unremitted operating surplus dating back to 2019. Customs officials, however, rejected the claim.
The FRC also alleged that the Corporate Affairs Commission (CAC) had an outstanding ₦13.9 billion operating surplus covering the period between 2023 and 2025.
Responding, CAC Registrar-General Hussaini Ishaq Magaji said the commission had been settling the outstanding obligations in phases.
Following the submissions, the Senate Committee on Finance directed the CAC, the FRC and its secretariat to reconcile their records and determine the actual outstanding balance within two weeks.
The committee also warned the heads of the Nigerian Civil Aviation Authority (NCAA), the Small and Medium Enterprises Development Agency of Nigeria (SMEDAN), the Industrial Training Fund (ITF), the Federal Medical Centre, Jabi, and other agencies that failed to honour its invitation to appear at the next hearing or face sanctions.
Chairman of the committee, Senator Sani Musa, said the Senate would continue to strengthen oversight of revenue-generating agencies to improve government revenue, enforce compliance with the Fiscal Responsibility Act and ensure proper remittance of operating surpluses into the Consolidated Revenue Fund.