Gov. Babajide Sanwo-Olu of Lagos has expressed support for the federal government-led tax reform, saying the state will lose some and gain more with the reforms. 

The governor disclosed this on Wednesday during an interview with the News Agency of Nigeria (NAN) on the sidelines of the Africa Investment Forum, Market Days 2024, in Rabat, Morocco.

Mr Sanwo-Olu emphasised the need for reforms in spite of resistance from certain quarters.

“What those uncomfortable with the tax reform are not willing to accept is that there is no way of making an omelette without breaking the egg. 

“You cannot make changes if the reforms are not set in. I have advised that people should take time to read the provisions of the reform very well, and to fully understand what they’re trying to do. 

“I’ve seen comments around. Comments like Lagos is going to be the major beneficiary. It is not true. Lagos is actually going to be a shaped-off in some places, but on a larger scale basis, we see it as a global thing for a better governance structure 

“All of us will play better and we’ll be able to discipline ourselves more. Some of the things that you will see is that you need to work harder for you to get the full benefit of the reform. So it’s not just an easy kill,” he said.

The governor added that if the changes were not made, the greater opportunities inherent in the states of the federation as well as non-governmental actors. 

According to him, Lagos state, indeed, will lose here and there, but will also have a bigger opportunity to have a bigger role to play. 

“I have a positive attitude to it. I see it as a very wonderful reform. 

“Tax-to-GDP ratio in Nigeria is one of the lowest in the world.

“So, there are a few things that need to happen, and like I keep saying, not only when you make those changes, you will not be able to see the opportunities that are found in your account.

“We really need to be bullish. We need to be encouraging ourselves and know that the intention is not to hurt anybody. This, I am very sure of.

“The intention is to better a lot, but not just better a lot of one person or one set of people. It’s for all of us, and so we should look at it this way,” he said.

Mr Sanwo-Olu, who is in Morocco alongside some his governor colleagues to woo investors at the Africa Investment Forum, said he had been engaging them in discussions on the reform.

“We’re doing that. I mean, I on my own, I’ve taken it upon myself to speak to some of them and to tell the Presidential Tax Reform Committee, headed by Mr Taiwo Oyedele, to continue public engagement. 

“I still spoke with him yesterday, to continue that level of engagement and let us populate the salient points. Let us populate the highlights of the major highlights. 

I think there have just been some misgivings on lack of understanding, but I think it’s a good thing,” he said. 

(NAN)