Inflation: FG moves to suspend import levies on basic food items, drugs, others

The Nigerian Government is considering suspending import taxes on staple food products, pharmaceuticals, and other vital items for six months in order to combat inflation.

This was included in a document given to President Bola Tinubu for evaluation and approval.

The document also includes plans to waive levies on fertilizers, poultry feed, flour, and grains.

According to Bloomberg, President Tinubu is yet to sign the papers that will enable its implementation.

The Inflation Reduction and Price Stability Order, as outlined in the document, will mandate the Ministry of Finance and the Central Bank of Nigeria to devise a plan for offering low-interest loans to the agriculture, pharmaceutical, and manufacturing sectors.

“This productive deployment will ultimately improve outputs and reduce inflation,” the document said.

The president is also likely to suspend value-added tax (VAT) on automotive gas oil, some basic food items and semi-processed staple food items such as noodles and pasta, raw-material inputs for the manufacture of food items, electricity and public transportation, as well as agricultural inputs and produce and pharmaceutical products for the rest of the year.

(Credit: Bloomberg, Nairametrics)