The Shocking Truth About VAT Revenue and Who Actually Funds Nigeria

[00:00:00]So, I'm going to read from Cable.

[00:00:04]The Cable Index has this um nice breakdown.

[00:00:08]By the way, this is January to June. So, when when July and so this covers the first half of the year 2026.

[00:00:16]The contributions, I mean, to the VAT pool by different geopolitical zones and also those states.

[00:00:23]So, let's start with zones and I'll go to states later. All right? What the six geopolitical zones contributed to the VAT pool and received in half 1 2026, that's the first half of the year, January to June.

[00:00:35]So, the Southwest contributed 2.16 trillion naira.

[00:00:39]We received 691.56 billion naira.

[00:00:44]As how like like the young people say, "How far now?"

[00:00:48]So, we contributed 2.16 trillion, but we received 691.56 billion. So, we only got 31.99% of what we contributed.

[00:00:59]The South-South contributed 818.58 billion naira and they received 429.99 billion naira. So, they got 48.83% of what they contributed, which is also, of course, less than what they contributed.

[00:01:14]North Central contributed 302.81 billion naira.

[00:01:19]And they received 350.17 billion naira. That's 115.64%.

[00:01:27]The Northwest contributed 205.52.

[00:01:31]By the way, North Central got more than what they contributed, right? So, they contributed 302.81, they got back 350.17.

[00:01:40]So, it's 115.64%.

[00:01:42]The Northwest contributed 205.52 billion naira.

[00:01:47]And they received 384.56 billion naira. So, they received 187.11% of what they contributed.

[00:01:57]The Northeast contributed 152.82 billion Naira and they received 250 285.70 billion. So, they got 186.95% of what they contributed. Then the Southeast, you know, where the development goes on in Nigeria, they contributed 79.72 billion Naira and they got back 230.89 billion. So, they got 291.28% of what they contributed.

[00:02:31]Uh I just want to thank God.

[00:02:33]Testimony time.

[00:02:34]You know, that uh I mean, the Southwest is doing well and I'm going to mention some of those states much later.

[00:02:41]It was [snorts] quite nice that we were able to do this, but I also think that this also creates the grounds to now talk more about fiscal federalism and the fact that it makes no sense for people to be gen- generating, I mean, to be contributing so much and be getting back so little in the name of we are one Nigeria. This is not how one Nigeria should work. I don't believe in this kind of arrangement. It doesn't mean I mean, the fact I don't believe in it doesn't mean I hate the idea of unity.

[00:03:09]It just means I hate the idea of stupidity.

[00:03:12]That would be stupid for you to contribute 2.16 trillion and get back 691.56 billion Naira.

[00:03:19]I think it's stupid.

[00:03:21]I just think so. Don't tell tell me you help your brother out. The thing about Nigeria is that there's nobody to share from.

[00:03:28]Right? Everybody has something they can work with. And if if if they know that they can just go cap in hand on a monthly basis to get something they didn't have to work for, they're not going to be creative. That's the problem.

[00:03:40]All right? The folks who are doing it's not it's not like it's not like And by the way, this is not about Lagos Lagos good because I saw some clowns. I don't know why we do Not we. Why they do this in Nigeria.

[00:03:53]Say take out Lagos. If you're a Yoruba person and you hear that thing, please don't join them.

[00:03:57]Remove Lagos. Remove Lagos. Don't remove Lagos. Lagos is already part of is Southwest. Don't remove it. But guess what? Even if you remove it, number one, don't remove it. Don't touch it.

[00:04:07]But even if you were to remove it, I would say remove Ogun. Remove Ekiti.

[00:04:13]Remove Osun. Remove which one?

[00:04:17]Ondo.

[00:04:18]You could remove all of them. You will you alone you will finish many of the states in the Nigeria.

[00:04:24]So, it's not about Lagos. It's about the ingenuity of the administrators, the governors, and you know, the people leading the states.

[00:04:31]But when you know that you don't have to do much, we're going to get something at the end of the at the end of the month.

[00:04:36]What's the incentive? Why do you have to work? Why do you have to come up with new ideas? Why do you have to generate income?

[00:04:42]And also, if you are going to destroy bottles of beers in the north, you know, meanwhile, they're going to collect VAT from the same beer in the south.

[00:04:54]I mean, why why should you not take advantage of the VAT there?

[00:04:59]These are the issues.

[00:05:00]Meanwhile, somebody wrote in the comment section says, "So, who is marginalizing who?" That's a very good question.

[00:05:06]Somebody is just leeching all over the place and they say they're being marginalized. It's a crazy thing.

[00:05:10]Meanwhile, you know, years ago, I used to listen to people from Southeast say that selling people particularly in the north that northerners they're parasites, they're these, they're parasites. It's not true.

[00:05:20]I mean, nobody only pass, but it's not as bad as people think. And and it's it's consistent, by the way.

[00:05:26]How can folks in Borno, Adamawa, Northeast generate more VAT than folks in the Southeast?

[00:05:40]Sambisa Forest is literally in the Northeast.

[00:05:44]Boko Haram Northeast is essentially the base of which state be it is a Borno.

[00:05:51]Then the Northeast.

[00:05:53]How come they are the worst even doing better than the people who say that you know, development association of Nigeria.

[00:05:59]Anyway, that's the breakdown. So, let's go to the breakdown by states.

[00:06:04]I won't take everything, just a few. By the way, there are some states in the Southwest they didn't even get working.

[00:06:10]States like Osun.

[00:06:13]What number are they? 34. How? How now?

[00:06:17]That one is even cool at all.

[00:06:19]It's not even I'm being Osun needs to really they the governor they need to do something.

[00:06:27]Can't be generating 13.25 billion in 6 months. Aba.

[00:06:34]This is disappointing.

[00:06:36]Osun can do a lot better than this.

[00:06:39]And perhaps they should if they should first create the environment that allows for I mean, for businesses to thrive and also for easy collection.

[00:06:49]They they've got to do that. But, let's start with the big boy. It's Lagos is I mean, Lagos got 1. Lagos contributed 1.81 trillion naira in 6 months.

[00:07:04]And then, but Lagos has sea abbey.

[00:07:08]Okay, Rivers had 560.04 04 billion naira, but Rivers also has port.

[00:07:16]So, they say that it's water that brings money, which I don't know. Maybe we have to find a way to dredge Osun to other parts of Nigeria. But, Oyo says no. Oyo state contributed 253.67 billion naira.

[00:07:32]Oyo is number three in the entire country.

[00:07:37]Lagos is number one for obvious reasons. And by the way, it's not even that obvious.

[00:07:42]Because listen, you can have a you can have a a city that has so many people and still not have the proper mechanisms for collecting VAT.

[00:07:52]So, even from that collection in the system they put in place, it's also not you can't just say it's obvious. It's also something to acknowledge. Do you know what I mean?

[00:08:02]So, Lagos has 1.8 trillion, Rivers 560, the next is Oyo.

[00:08:08]And Oyo is no way and I'm hearing all kind of rubbish on social media. People say, "Oh, it's because ah If I find some of these funny comments, I'll read to you.

[00:08:16]So, it's because Oyo is close to Lagos.

[00:08:18]And then Ogun says because it's close to Lagos.

[00:08:20]If all of my kitchen saying oh You'll be looking for excuses for every good thing that happens to other people.

[00:08:27]You will never see it as a way as an inspiration for you to get better. You just look at it and say, "Ah, there's a reason I can explain the the prosperity away." But for me, it's not even for me. I can't include myself in that example at all.

[00:08:41]Anyway, so I'll just stay with Southwest cuz I don't I mean, I care about everybody, but I don't If I start mentioning places, it'll be as if I want to throw jabs.

[00:08:53]jabs.

[00:08:54]Which I want to do, but not yet. So, Lagos is the number one, Oyo is number three.

[00:09:02]Ogun Ondo is number 12.

[00:09:04]They contributed 34.22 billion naira.

[00:09:08]All right, Ogun is number 15. Ogun is Ogun has a lot of So, people are saying Ogun should have had more because it has a lot of manufacturing. But it's not about manufacturing. VAT is about consumption, not production.

[00:09:18]Consumption to production. So, when you have production, you can't talk about com- company taxes. We're not talking about VAT. We're talking about value added tax. We're talking about what people pay consuming what has been produced. Okay?

[00:09:33]So, Ogun is number 15 with 26.43 billion. Taraba is actually doing very well. Taraba is is uh number 21, Plateau is number 22, Sokoto is number 19.

[00:09:44]Not bad. Not bad.

[00:09:46]Anambra is number 18. Wonderful.

[00:09:49]Let me not talk.

[00:09:51]Ekiti is number 24. Not good good enough. And then of course we have Osun State just chilling in number 34.

[00:09:58]Meanwhile, they say that everybody says it's the best thing since sliced bread all of us should go and copy and do, you know, you know, do everything they're doing. It's Abia State. Abia State is number 37.

[00:10:07]You wonder, do you know how many 36 states? That's because Abuja is also there. So FCT is also there.

[00:10:13]Abia is number 37. By the way, FCT is number four.

[00:10:18]Shout out to you some wicked.

[00:10:20]But Abia State is number 37.

[00:10:23]They contributed 8.8 paltry sum of 8.77 billion in 6 months.

[00:10:30]Only to receive 43.32 billion.

[00:10:35]I mean, I'm even angry with Osun State.

[00:10:36]But at least Osun contributed cannot contribute no. Osun contributed 13 Osun contributed 13.25 billion and received 46.18 billion.

[00:10:49]All right?

[00:10:50]But we can say since it's from the region, let's let's their brother help them out. Maybe the brothers, you know, doing better, right?

[00:10:56]Abia is number 37. Enugu is number 35.

[00:11:01]Imo is number 30.

[00:11:03]Kogi is 26. Ebonyi is 25.

[00:11:06]Katsina Katsina cannot be number 22.

[00:11:08]This is bad.

[00:11:09]Who been to Katsina?

[00:11:11]How can Katsina be 22?

[00:11:14]I mean, all the governors should do better.

[00:11:16]Particularly Osun State.

[00:11:18]I mean, everybody should do better. Osun and Ekiti. Particularly Osun. Ah.

[00:11:23]Maybe number 34. Loshele.

[00:11:25]This is wrong. This is just bad.

[00:11:27]Anyway, turns out that the people that Let me not say it. The people that turned everybody and caused people parasites and tell everybody that they're the ones doing everything everything.

[00:11:39]That's really behind.

[00:11:41]Okay?

[00:11:42]And turns out also that Nigeria that the Southwest is actually responsible for I mean we're carrying the country. And not that we are tired, we just think that there should be better structure to this thing. And I dare say it should also affect the derivation that comes with them.

[00:12:01]With oil. I've said this several times.

[00:12:02]I'm a Yoruba man. I don't think I should be sharing oil from Bayelsa.

[00:12:06]So in case somebody says but you're always you're always collecting money from oil. They should also stop that thing.

[00:12:11]See our governors everybody will everybody will wake up.

[00:12:15]Collect your money, wake up. People will wake up once you know that there's no free lunch.

[00:12:20]There's no state without something.

[00:12:25]It could be natural resources, it could be it could be I mean have you been to Bauchi or to Taraba? Taraba has beautiful scenery.

[00:12:36]Okay, or Plateau or Cross River and I'm not even talking about Yoruba yet.

[00:12:42]Well, I'm just talking about Nigeria generally.

[00:12:44]See Cross River. See what what what Obudu and Tinapa have become.

[00:12:49]It's a shame.

[00:12:52]So Tinapa is a ghost town.

[00:12:55]Obudu is just there. I mean I think the cable car is not even working anymore. I hope they fix it.

[00:13:00]Those are places that you wanted to go back in the day.

[00:13:03]That could bring you money. I mean people would think of what to do. Not all these things where everybody just go and collect oh yeah, my own share.

[00:13:10]Meanwhile, there's no sense of gratitude.

[00:13:13]You go collect my money see they insult me.

[00:13:16]Bunch of clowns.

[00:13:19]So that's how that um the stuff has I mean that's how it went.

[00:13:24]So essentially Lagos, Rivers, Oyo um Federal Capital Territory, Bayelsa, Delta, they are doing very, very well.

[00:13:35]Abia, Cross River, Enugu, Osun, they are not doing well at all.

[00:13:41]Osun is very close to Oyo. To be fair, Oyo Oyo state is not what people think it is.

[00:13:47]I see a lot of people say all kinds of things. People don't have an idea what Particularly that capital, Ibadan.

[00:13:54]But I was talking about that I'm not from there, but I grew up there. I'm from there.

[00:13:58]I'm not not my hometown, but my hometown. If you If you get what I mean.

[00:14:01]I'm proud of, you know, I'm proud to say I grew up in Ibadan.

[00:14:05]People have no idea what that place looks like or what that place produces.

[00:14:09]Everybody just assumes it's brown roof.

[00:14:11]But it's good, sha. At least they cover to be thinking it's nonsense until people because there are people are making s- stupendous amount of money from that city.

[00:14:21]Anyway, we are happy with Oyo state. We are happy with Lagos. We are happy that Ondo is also doing well.

[00:14:28]But we really need Osun to, you know, do better. This is not good enough. Mr. Bola Ahmed Tinubu, thank you, sir. Good to see you, sir. O to je meta.

[00:14:36]E e seun, sir.

[00:14:39]So, hopefully this also helps you in your conversation with people who are always dumping and, you know, just saying all kinds of things about Nigeria.

[00:14:47]Your part of the country contributes the least.

[00:14:50]As a region, even the state, the least.

[00:14:54]Therefore, they should not be calling anybody clinical clinical because God is at work in other places. He's He'll work with them, too. Agba lo lon.

[00:15:04]Thank you very much, Mr. Bola Ahmed Tinubu, sir.

[00:15:06]Meanwhile, there is um something that Soludo said a while back.

[00:15:11]You think it's a joke until you hear it from a governor who used to be a uh CBN governor, right? He's the governor of Anambra state now, but he was the CBN governor. That's Central of Nigeria.

[00:15:24]He said the Southeast only contributes 8% to Nigeria's GDP.

[00:15:29]So, if the Southeast were to collapse tomorrow, Nigeria will not be affected.

[00:15:35]They will only see it as a human disaster and move on.

[00:15:39]I did not say that.

[00:15:42]I think that also should make some people a bit I mean, I'm not expressing any immaturity about 8% the GDP.

[00:15:55]Osun should do us better so our we can our joy can be full. We need our joy to be full. Osun should, please.

[00:16:02]It's not just on VAT. It's in everything. Nigeria they need to do better.

[00:16:07]Osun should keep doing better. I mean, Oyo state will conveniently pay Let me see. Let me see.

[00:16:14]Oyo state alone 53.67, abi?

[00:16:16]The entire South South contributed 79.27.

[00:16:21]Oyo and Ondo contributed 250. Wait, too.

[00:16:23]I want to be petty.

[00:16:27]Let me be petty, eh? Allow me. Allow allow. 250 3.67 divided by 79.27 In other words, you have to multiply everything the Southeast got in the first half of this year by three to come close, not the exact number, to come close to what Oyo state alone generated in 6 months.

[00:17:02]How now? How?

[00:17:06]They would have called the place Barau.

[00:17:11]Northeast is about less than 2% less less than You have to do like almost two times what the northeast contributed but the south is just multiply by three 3.2 and I I think it's all the body parts mean while somebody said let them remove so it actually did they said talk to Grok I'm just going to talk about it talk to I'm not going to read out the person's name it's not that important but I said that Grok should remove Lagos and remove FCT well Grok may have to also remove Rivers in South South but like I said even if you remove all of Lagos and everything or you guys will still have to you still a lot better than many regions not just the southeast you know so we hope things get better for every part of the country um then we also hope that people stop being leeches and this conversation must lead us to talking about fiscal federalism and eventually we have to have conversations about resource control in this country particularly in the National Assembly I think it's about time we had that conversation all right