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NASME Advocates 5-Year Tax Amnesty for MSMEs

Federal government has been urged to grant five-year tax amnesty to the Micro, Small & Medium Enterprises (MSMEs) in the country as a means to galvanise them, especially into aligning the small businesses with the formal sector tax related matters.
The Nigerian Association of Small and Medium Enterprises (NASME), made the call as part of its advocacy and mediation drives to broker compromise between the government and the MSMEs, especially on taxation.
Meanwhile, the Nigerian Association of Small and Medium Enterprises (NASME), Nigeria in collaboration with Deloitte, with the support of Enhancing Nigerian Advocacy for a Better Business Environment (ENABLE), on Thursday officially released an advocacy paper targeted at proffering a better tax framework for the MSME sector of the Nigerian economy.
According to NASME, statistics shows that Nigeria has currently has over 35 million small business, who account for 90% of job creation, contributing about 50% of the economic growth, regrettably, the sector are heavily taxed and allowed to grapple with multifaceted challenges.
The informal economy or grey economy which is usually regarded as part of the economy that is neither taxed, nor monitored by any form of government, the experts said, deserves to be treated fairly and included into the activities of the formal sector economy.
Speaking during public presentation of Tax Advocacy Paper aimed at MSMEs in Nigeria, a work executed by Deloitte Nigeria on behalf of NASME, Fatai Folarin, chief executive officer of Deloitte Nigeria, said in spite of government’s efforts and the clout garnered by MSMEs, MSMEs have not performed creditably well and hence have not played the expected vital and vibrant role in the economic growth and development of Nigeria.
He said the report findings show an existing or perceived disconnect between policy intent and the realities of MSMEs.
“The need to bridge the gap between policy intent and MSME reality has necessitated this position paper. The drivers for this position paper are: Encouraging interaction and adoption of a concerted approach to issue of strategic importance to the development of MSMEs in Nigeria; Establishing a frame work that ensures effective realization of government objectives and targets for MSMEs; and Creating an active platform for policy advocacy on issues affecting MSMEs in Nigeria”.
The Tax Advocacy paper focuses on key objectives as the challenges faced by MSMEs in Nigeria; bridging tax and regulatory gaps in relation to MSMEs – Our Recommendations and benefits to the government.
Also speaking, Oluseye Arowolo, partner, Tax & Regulatory at Deloitte Nigeria, said that the executive summary of the paper, it has clearer, “apart from where the policy defined MSMEs, the policy does not specifically address nor differentiate the needs of each segment, which is principally the disconnect that needs to be addressed”.
He said, “Each category of MSME has its own peculiar characteristics and problems which require targeted policies to address them. If you look overview of MSMEs in Nigeria, the country’s economy is largely driven by MSMEs with 96% of Nigerian businesses falling under this category; The MSME sector accounted for 84.02% of the total labour force in Nigeria in 2013; MSMEs contribution to the Nation’s Gross Domestic Product in nominal terms stood at 48.47% in 2013; MSMEs contribution to export stood at 7.27% in 2013 and MSMEs, the world over are said to generate about 90% of employment in the private sector. So, we started work on this position paper about two years ago. Since then so many things have changed, however, there are current events in the country that show the releasing of this position paper is apt and should be adopted by the Government to cater for this segment of the economy,” Arowolo said.
The document jointly presented by NASME, Deloitte and ENABLE identifies that currently, only about 27.7% of registered businesses in Nigeria pay taxes out of the recorded number of 450,000; MSMEs account for a significant portion of the remaining 72.3%, hence “an improved tax and regulatory framework will result into widened tax net to accommodate these MSMEs as a result of the VDP and simplified tax registration process”.
“If the Total tax revenue generated by the revenue authorities in 2015 was N3.7bn; The target tax collection in 2015 was N4.6bn, government granting MSME requests will encourage the level of compliance and consequently, more revenue generation. For instance, unemployment rate and GDP in the 1st quarter of 2016 are recorded at 12.1% and -13.7% respectively. Enactment of preferential tax rules and other tax incentives requested will boost investment and encourage more players in the sector. Consequently, increased employment, more goods being produced for export and increased GDP,” he said.
The Partner, Tax & Regulatory at Deloitte Nigeria added that the paper recommends for the Government to have special MSME tax regime “where MSMEs will not be assessed under the provision of either PITA or CITA, but on a new tax and regulatory framework dedicated to MSME in clear and definite terms”.
To this end, Prince ‘Degun Agboade, president/chairman of Council of NASME thanked Deloitte for executing the work seamlessly, adding that the findings are critical to the members.
According to Agboade, MSMEs in Nigeria today are faced with challenges ranging from “Government’s perceived lack of sensitivity; Rigid and stringent requirements for start-up business; Over-regulation; Insufficient access to funds/finance and lack of awareness; Inefficiency in the administration of government’s incentives; Multiple and high taxes, among others.
He said, “In a situation you present you bankers with collateral worth N200million and they say you can only borrow N12million, whereas N50million was approved for you, does it augur well for such manufacturers? Manufacturers are going through turbulent times especially in sourcing for funds, and tax system is not harmonised. We want the Government to look into this. So, the call for tax amnesty is justified, because it is going to inject life into the MSMEs and help the government to increase tax earnings”.
Nodding in agreement, Ladi Jemi-Alade, zonal vice president, South-West at NASME said reiterated that “MSMEs are able to manufacture products up to international standards for export which will boost foreign trade, and increased innovation and technology as MSMEs tend to be major drivers of innovation while achievement of wider socio-economic goals such as poverty alleviation”.
“That is why we are saying 5-year tax amnesty for the MSMEs will bring about a programme for voluntary disclosure of records. For instance, most companies are indebted to Corporate Affairs Commission (CAC) and the FIRS, because the penalties are stringent. So, companies need help. They need to be granted amnesty to voluntarily disclose their records and the inequalities in the tax system must be addressed”.
He said that stakeholders’ view is that the current disconnect in policy and the reality of MSMEs must be eliminated through appropriate combination of options, expressing their desire “to assist government to appreciate expectations from the MSME sector has necessitated the preparation of this sector-wide position paper. Stakeholders within the MSME sector through NASME are prepared to engage and dialogue further with Government at all levels”.
Also, Kevin Conroy, team leader, Enhancing Nigerian Advocacy for a Better Business Environment (ENABLE), expressed confidence that if implemented, provisions in the paper will help to unleash the potential of MSME for the benefit of Nigeria’s economy.
He said that is has become imperative for government to revisit its approach to the challenges of the MSME sector, particularly by reducing the tax burdens on small businesses.
News
Nigeria, EU Ink Research, Innovation Deal Worth €100Bn

Nigeria and the European Union have inked a scientific and technology deal that grants access to about €100 billion in research and innovation funding for scientists, start-ups, and public institutions.

The agreement is a significant boost to the country’s tech environment, providing new prospects for research, innovation, and start-up growth.
The arrangement was signed in Abuja by Gautier Mignot, head of the EU delegation to Nigeria and ECOWAS, and Kingsley Udeh, Nigeria’s minister of innovation, research, and technology.
After more than two decades without a formal framework, the agreement transfers cooperation from informal to structured, large-scale collaboration.
The European Commission’s Horizon Europe programme, the world’s largest public research budget, is at the heart of the deal, which will bring together Nigerian researchers and firms to work on cross-border projects in health, agriculture, climate, food systems, and new technologies.
Udeh stated that the relationship puts Nigeria as a continental powerhouse for science and enterprise, with an emphasis on translating research into commercially viable products and assisting startups in scaling into global players.
Gautier Mignot noted that Nigerian organisations are already active in several Horizon-backed and global health research projects, but the new pact provides a legal and political framework to significantly expand participation, funding access and visibility.
To ensure delivery, both parties created a Joint Science and Technical Cooperation Committee to drive implementation and track measurable outcomes.
Beyond academia, the agreement aims to support innovators, boost university–industry collaboration, and help more Nigerian tech firms compete globally, strengthening Nigeria’s position as a leading startup hub in Africa.
News
Microplastics Found in 90 Percent of Prostate Cancer Samples

Microplastics have now been found inside most prostate cancer tumors — and at strikingly higher levels than in healthy tissue.

A new study reports that tiny plastic particles were present in nine out of 10 men diagnosed with prostate cancer.
Researchers also found that these fragments appeared in greater amounts inside cancerous tumors than in nearby noncancerous prostate tissue.
The investigation was conducted at NYU Langone Health, including its Perlmutter Cancer Center and Center for the Investigation of Environmental Hazards.
Scientists set out to examine whether exposure to microplastics could play a role in the development of prostate cancer, which the American Cancer Society identifies as the most common cancer affecting American men.
Plastic used in food containers, packaging, cosmetics, and other everyday products can break down into microscopic pieces when heated, worn down, or chemically altered.
These particles can be swallowed, inhaled from the air, or absorbed through the skin. Previous research has detected microplastics throughout the human body, including in major organs, bodily fluids, and even the placenta.
Despite their widespread presence, scientists still do not fully understand their health effects.
For this study, researchers analyzed prostate tissue samples from 10 patients undergoing surgery to remove the prostate gland. Microplastic particles were identified in 90% of tumor samples and in 70% of noncancerous samples.
Notably, tumor tissue contained significantly more plastic.
On average, cancerous samples had about 2.5 times the concentration found in healthy prostate tissue (about 40 micrograms of plastic per gram of tissue compared with 16 micrograms per gram).
“Our pilot study provides important evidence that microplastic exposure may be a risk factor for prostate cancer,” said study lead author Stacy Loeb, MD, a professor in the NYU Grossman School of Medicine’s Departments of Urology and Population Health.
Loeb explained that while earlier studies had hinted at links between microplastics and conditions such as heart disease and dementia, there had been little direct research connecting them to prostate cancer.
The findings will be presented on February 26 at the American Society of Clinical Oncology’s Genitourinary Cancers Symposium.
According to Loeb, this is the first study conducted in the West to measure microplastic levels in prostate tumors and directly compare them with levels in noncancerous prostate tissue.
To carry out the analysis, scientists first examined the tissue visually. They then used specialized instruments to measure the quantity, chemical makeup, and structural characteristics of microplastic particles. The team focused on 12 of the most commonly produced plastic molecules.
Because plastic is widely used in medical and laboratory tools, the researchers took extra precautions to prevent contamination. They replaced plastic equipment with alternatives made from aluminum, cotton, and other nonplastic materials. All testing took place in controlled, clean rooms specifically designed for microplastic analysis.
“By uncovering yet another potential health concern posed by plastic, our findings highlight the need for stricter regulatory measures to limit the public’s exposure to these substances, which are everywhere in the environment,” said study senior author Vittorio Albergamo, PhD.
Albergamo, an assistant professor in the NYU Grossman School of Medicine’s Department of Pediatrics, said the next step is to determine how microplastics behave inside the body and whether they contribute directly to cancer development. One theory the team plans to investigate is whether these particles trigger a persistent immune response (inflammation) in prostate tissue.
Over time, chronic inflammation can damage cells and lead to genetic changes that allow cancer to form.
Albergamo emphasized that the study involved a small number of patients and that larger studies will be necessary to confirm the results.
According to the Centers for Disease Control and Prevention, about one in eight men in the U.S. will be diagnosed with prostate cancer during their lifetime.
Meeting: American Society of Clinical Oncology’s Genitourinary Cancers Symposium
The research was funded by the U.S. Department of Defense.
In addition to Loeb and Albergamo, the NYU Langone research team included Leonardo Trasande, MD, MPP; Trevor Johnson, PhD; Fang-Ming Deng, MD, PhD; Mark Strong, DO; David Wise, MD, PhD; José Alemán, MD, PhD; Zixuan Mo, BS; Mariana Rangel Camacho, BS; Nataliya Byrne, BA; Tatiana Sanchez Nolasco, MPH; Adrian Rivera, MPH; William Huang, MD; Herbert Lepor, MD; Wei Phin Tan, MD; and James Wysock, MD.
Samir Taneja, MD, of Northwell Health in New York City also contributed to the study.
Loeb has consulted for pharmaceutical company Astellas, digital health company Savor Health, and men’s health organization Movember, and has received research support from Endo USA Inc. She also participated in advisory boards for Endo USA, Blue Earth Diagnostics, Pfizer, Sumitomo Pharma, and Doceree. Wysock has consulted for medical equipment manufacturers Edap — Focal One, and URO-1 Medical. Wise is a paid consultant for Pfizer, Bayer, K36, OncoC4, AstraZeneca, and Janssen Pharmaceuticals, and is an expert witness for Exxon Mobil. None of these activities are related to the current study. NYU Langone Health is managing the terms and conditions of these relationships in accordance with its policies and procedures.
Credit…..scitechdaily.com
News
Lotus Bank, REA Seal N100Bn Deal to Power Rural Nigeria

Lotus bank has strengthened its push for inclusive and sustainable development through a strategic partnership with the Rural Electrification Agency (REA) to widen access to renewable energy solutions in underserved communities nationwide.

The collaboration was formalised on Monday in Abuja with the signing of a Memorandum of Understanding (MoU), under which LOTUS Bank will make available up to N100 billion in accessible financing to certified Renewable Energy Service Companies (RESCOs). The funding is expected to ease capital constraints that have slowed the pace of off-grid electrification projects across rural Nigeria.
Speaking at the signing ceremony, Managing Director/Chief Executive Officer of LOTUS Bank, Dr. Isiaka Ajani-Lawal, described the partnership as a practical demonstration of the Bank’s founding philosophy.
“LOTUS Bank was established to redefine the impact that financial institutions can have on the society we serve – not simply through financing, but through partnership, empowerment, and shared prosperity,” he said.
Ajani-Lawal stressed that the initiative aligns with the Bank’s broader mission of deploying ethical, non-interest finance to address pressing national development priorities.
“Our involvement with REA and the DARES program underscores our commitment to supporting sustainable development goals, while driving financial inclusion across Nigeria. We believe non-interest finance must go beyond innovation — it must deliver tangible socio-economic value to all segments of society,” Ajani-Lawal assured.
On his part, REA Managing Director/Chief Executive Officer, Abba Abubakar Aliyu, underscored the urgency of tackling financing gaps confronting renewable energy developers, particularly in the off-grid segment.
“While Nigeria has made strides in expanding energy access, financing remains a key constraint for RESCOs. Collaborations like this are essential in unlocking private sector investment and delivering sustainable energy solutions at scale,” Aliyu said.
Industry observers note that the partnership is poised to accelerate clean energy deployment, reduce financing bottlenecks, and catalyse private sector participation in Nigeria’s electrification drive.
It also aligns with the country’s National Electrification Strategy and Implementation Plan (NESIP) and advances Sustainable Development Goal 7 (SDG7), which seeks to ensure access to affordable, reliable and clean energy for all.
Since commencing operations in 2021, LOTUS Bank has carved a niche as a non-interest lender focused on financial inclusion. The Bank has rolled out innovative products tailored to individuals, women, youth and micro, small and medium enterprises (MSMEs), while investing in digital platforms to broaden access to ethical banking services across urban and rural communities.
Its interventions span community empowerment initiatives, corporate social responsibility programmes, and financial literacy campaigns designed to deepen understanding and adoption of non-interest banking principles.
In recognition of its expanding footprint in ethical finance, LOTUS Bank was recently named “Best Ethical and Financial Inclusion Bank of the Year” at the 2025 BusinessDay BAFI Awards, further cementing its reputation as a leading advocate of impact-driven banking in Nigeria.
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